Risk(tm) is also a board game of world domination by the Parker Brothers. Two to six players play on a world map divided into territories and continents with coloured tokens representing their armies.
Success in Risk requires not only sound strategy and luck but also good diplomacy in ... ahem ... "encouraging" your opponents to take each other out.
more information on Risk (the board game):
http://www.maths.nott.ac.uk/personal/odl/riskfaq.html
In the financial sense, risk is the amount of danger involved in a particular financial decision. This is usually reflected in the amount of capital that may be lost if the deal/contract/decision did not turn out as intended.
Most people misunderstand financial risk. While it is true that some financial instruments inherently carry more risk than others (to take an extreme example, options on futures carry a far higher risk than, say, property), a lot of people misjudge the amount of risk they exercise in their investing activities.
Understanding what actually constitutes risk in investing is one of the most important lessons in learning to become a good investor. With knowledge, wisdom and experience, the seasoned investor sees a wholly different level of financial risk than the novice investor even when they are looking at the exact same possible investments.