Market risk is the possibility for losses due to factors that affect the overall performance of investments in the financial markets, per Investopedia.

For example, the Federal Reserve raising interest rates could result in a market downturn, regardless of an individual company's performance.

Regarding Fluid Futures, when we talk about market risk, we're talking about any risk that is present in the stock market, but is not related to the KPI you desire exposure to.

This includes risks to other KPIs within the company, risk that a company publishes a negative forecast, risk that a specific industry has a downturn, or any number of risks.