Tag: Financial Risk
Risk management is a systematic process for identifying and addressing potential risks and opportunities in various contexts, including organizations and projects. It combines quantitative and qualitative analysis to minimize negative impacts and maximize positive outcomes, adapting to evolving global trends and technological developments.
Fat Tail Events denote uncommon, large deviations from averages, often linked with significant financial shifts. These are characterized by a greater likelihood of extreme occurrences than typical predictions suggest. Their profound impact, as witnessed in events like the 2008 financial crisis, underscores the importance of understanding and managing such phenomena.