What are the risk types?

1. Market risk: the risk that market fluctuation or changes in market environment may adversely affect investment.

2. Operational risk: the risk caused by operational errors, process errors or improper management.

3. Credit risk: the risk that investors will suffer losses due to the debtor's failure to perform obligations as agreed in the contract or to return assets on time.

4. Financial risk: the risk caused by abnormal performance of financial indicators such as balance sheet or cash flow statement.

5. Political risks: risks related to changes in the political situation or government policies.

6. Inflation risk: the risk that the actual purchasing power of investors will be affected when the purchasing power of money declines.

7. Interest rate risk: the risk that the value of financial assets, debts or securities held by investors will be affected by the rise or fall of interest rates.

Here are some suggestions to avoid risks:

1. Do a good job in risk assessment: before making any decision, evaluate and analyze possible risks so as to find and deal with problems as soon as possible.

2. Diversified investment: Diversified investment in different fields and asset types will help reduce the risk of a certain field or asset type.

3. Keep sufficient reserve funds: Keep sufficient reserve funds to deal with possible emergencies, such as illness, unemployment or car accidents.

4. Learn risk management skills: knowing how to manage risks and mastering relevant skills can help you better cope with emergencies.

5. Insurance: Buying appropriate insurance, such as health insurance, car insurance and property insurance, can help reduce losses in an emergency.

6. Don't act impulsively: Before making any decision, you need to do enough thinking and research to avoid making mistakes because of impulsiveness.

7. Understand the market: A deeper understanding of market changes and risks can help you better avoid risks, such as economic cycle, policy changes and supply and demand.