Financial Risk Management Task
Jump to navigation
Jump to search
A Financial Risk Management Task is a risk management task that manages financial risk.
- Context:
- It can (often) involve Financial Risk Modeling.
- …
- See: Financial Instruments, Credit Risk, Market Risk, Foreign Exchange Risk, Shape Risk, Volatility Risk, Sector Risk, Liquidity Risk, Inflation Risk.
References
2016
- (Wikipedia, 2016) ⇒ http://wikipedia.org/wiki/financial_risk_management Retrieved:2016-4-29.
- Financial risk management is the practice of economic value in a firm by using financial instruments to manage exposure to risk, particularly credit risk and market risk. Other types include Foreign exchange risk, Shape risk, Volatility risk, Sector risk, Liquidity risk, Inflation risk, etc. Similar to general risk management, financial risk management requires identifying its sources, measuring it, and plans to address them.
Financial risk management can be qualitative and quantitative. As a specialization of risk management, financial risk management focuses on when and how to hedge using financial instruments to manage costly exposures to risk.
In the banking sector worldwide, the Basel Accords are generally adopted by internationally active banks for tracking, reporting and exposing operational, credit and market risks. [1] [2]
- Financial risk management is the practice of economic value in a firm by using financial instruments to manage exposure to risk, particularly credit risk and market risk. Other types include Foreign exchange risk, Shape risk, Volatility risk, Sector risk, Liquidity risk, Inflation risk, etc. Similar to general risk management, financial risk management requires identifying its sources, measuring it, and plans to address them.