is the chance that political forces may change a country's business environment in ways that lead investors to lose some or all of the value of their investment or be forced to accept a lower-than-projected rate of return.

political risk

Explanation:

The government, specially when presidential election are in their way may generate political risk if there are some parties which aren¡t friendly-market. If the invesotr notice the possible new government will not pay their bonds debt or will do confiscation against foreing company's there will be a highly change that investor leave the country.

due to the changes the federal reserve is making the unused reserves will impact the economy by them facing inflation. inflation is definfed as the increase in pricing of a good or service but the decline of the value of money used for purchasing those items. when the economy has a high inflation rate, they are subject to money loss and hurt on the economy.