"Downside exposure" refers to the potential loss or negative impact that a person or entity may experience in a particular situation or investment. It signifies the possibility of facing unfavorable outcomes or risks. Full definition
Instead, we use a percentage loss level to give investors a precise understanding of downside exposure in their portfolio. (uk.scalable.capital)
By combining a broader variety of assets that have little to no correlation to one another, we can reduce downside exposure right out of the gate. (seasoninvestments.com)
Some hedge funds take positions that aim to limit downside exposure. (morganstanley.com)