risk management

risk management
A process that aims to help organizations understand, evaluate, and take action on all their risks. A private-sector organization will need to identify and evaluate the trade-off between risk and expected return and to choose the course of action that will help it to maximize its value. Risk management is also relevant to the public sector. Common forms of risk management include taking out insurance against possible losses and the use of derivatives to hedge against changes in interest rates, exchange rates, or other economic variables. A bank will always try to manage the risks involved in lending by adjusting the level of charges and interest rates to compensate for a percentage of losses.

Big dictionary of business and management. 2014.

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  • Risk management —   Risk management is the management that is engaged in the control and monitor the risks of the bank. They must be aware of the exposure of the bank as a whole at any time.   The following reports exist to manage the following risks (created by… …   International financial encyclopaedia

  • risk management — risk manager. the technique or profession of assessing, minimizing, and preventing accidental loss to a business, as through the use of insurance, safety measures, etc. [1960 65] * * * risk management UK US noun [uncountable] business a method of …   Useful english dictionary

  • risk management — n. The process of assessing risk and acting in such a manner, or prescribing policies and procedures, so as to avoid or minimize loss associated with such risk. Webster s New World Law Dictionary. Susan Ellis Wild. 2000 …   Law dictionary

  • risk management — risk .management n [U] 1.) a system to prevent or reduce dangerous accidents or mistakes 2.) technical the practice of managing ↑investments in ways that produce as much profit as possible while limiting the danger of losses …   Dictionary of contemporary English

  • risk management — risk ,management noun uncount BUSINESS a method of controlling losses or damage to a business …   Usage of the words and phrases in modern English

  • Risk management — For non business risks, see risk, and the disambiguation page risk analysis Example of risk management: A NASA model showing areas at high risk from impact for the International Space Station. Risk management is the identification, assessment,… …   Wikipedia

  • risk management — The assessment, evaluation, and monitoring of *risks in an activity or organization, with the undertaking of necessary corrective actions. Risk management is a comprehensive process that aims to create a disciplined environment for the… …   Auditor's dictionary

  • Risk management — Risikomanagement [ ˌmænɪdʒmənt] ist die systematische Erfassung und Bewertung von Risiken sowie die Steuerung von Reaktionen auf festgestellte Risiken. Es ist ein systematisches Verfahren, das in vielfältigen Bereichen Anwendung findet, zum… …   Deutsch Wikipedia

  • risk management — Controlling the probability, and/or the severity, of a potential adverse event so that the consequences of that event are within acceptable limits. Since all risks have, by definition, the potential to generate losses, and since capital is the… …   Financial and business terms

  • Risk management — The process of identifying and evaluating risks and selecting and managing techniques to adapt to risk exposures. The New York Times Financial Glossary * * * risk management risk management ➔ management * * *    Risk management is a middle office …   Financial and business terms

  • Risk Management — The process of identification, analysis and either acceptance or mitigation of uncertainty in investment decision making. Essentially, risk management occurs anytime an investor or fund manager analyzes and attempts to quantify the potential for… …   Investment dictionary

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