![]() ![]() 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.” – Wikipedia Financial risk management can be qualitative and quantitative. ![]() Similar to general risk management, financial risk management requires identifying its sources, measuring them, and plans to address them. “Financial risk management is the practice of protecting economic value in a firm by using financial instruments to manage exposure to risk. With technological developments, financial risk management software is popularized, simplifying the analysis and enhancing ROI greatly. An excellent investor determines future objectives with a clear vision of potential risks. Before earning a profit, learning financial risk management is a must. ![]()
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