Economic risk: Difference between revisions
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imported>Doug Williamson (Add FX-only version.) |
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1. ''Risk management'' | |||
Broadly, the risk associated with changes in exchange rates, local regulations or business environment, which could disadvantage the company’s long-term economic model or favour the services or products of a competitor. | |||
This type of exposure is very difficult to mitigate. | This type of exposure is very difficult to mitigate. | ||
2. ''Foreign exchange risk'' | |||
More narrowly, the risks above associated with changes in exchange rates. | |||
Revision as of 15:51, 17 March 2017
1. Risk management
Broadly, the risk associated with changes in exchange rates, local regulations or business environment, which could disadvantage the company’s long-term economic model or favour the services or products of a competitor.
This type of exposure is very difficult to mitigate.
2. Foreign exchange risk
More narrowly, the risks above associated with changes in exchange rates.
Also known as economic exposure.