Counterparty risk: Difference between revisions
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imported>Doug Williamson (Add narrower first definition.) |
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==Other resource== | |||
*[http://www.treasurers.org/node/8928 Treasury essentials: Counterparty risk, The Treasurer, April 2013] | *[http://www.treasurers.org/node/8928 Treasury essentials: Counterparty risk, The Treasurer, April 2013] | ||
[[Category:Manage_risks]] | [[Category:Manage_risks]] |
Latest revision as of 10:24, 18 January 2024
1. Derivatives contracts.
When a contract is in the money, the risk that the other party to the contract fails for any reason, for example bankruptcy.
2.
More generally, the risk to each party to a contract that the counterparty will not meet its contractual obligations, whether they are unable, or simply unwilling, to do so.
See also
- Cash in the new post-crisis world
- CCR
- CRD IV
- Credit risk
- Guide to risk management
- In the money
- Putting a limit on losses
- Risk