Which type of risk is associated with situations that can result in a loss but do not offer the possibility of financial gain?

The correct answer is indeed pure risk. This type of risk is characterized by situations that involve the potential for loss but do not provide any opportunity for financial gain. Pure risks typically relate to events that can lead to loss, such as accidents, natural disasters, or theft. The outcomes in these scenarios are binary: either a loss occurs or it doesn't, with no opportunity for profit.

In contrast, speculative risk involves situations where there is a chance of both loss and gain, such as investing in the stock market or starting a new business. Investment risk also falls under the category of speculative risk because it entails the possibility of both financial loss and appreciation of investments. Controlled risk refers to risks that can be managed or reduced through preventative measures, but it does not imply the absence of potential profit, which is the key distinction that highlights why the answer is pure risk.