Robustness
1. Risk management - attack - security.
The ability to withstand attack, for example in an IT system.
"An ethical hacker is a person who hacks into a computer network in order to test or evaluate its security. Organisations often contract ethical hackers to test the robustness of their treasury systems and other critical functions."
(Ethical hacker - the Treasurer's Wiki.)
2. Risk management - evolving circumstances.
Ability to remain in an acceptable condition, following a worsening in external circumstances, for example in stress testing.
"In stress testing, worst case data are input into a financial model. The idea is to test whether creditworthiness - or any other attribute being modelled - is robust enough to survive the selected 'worst case' scenario."
(Stress test - the Treasurer's Wiki.)
3. Markets - demand.
In markets, robust demand is a high level of demand, with relatively comfortable margins of safety for a supplier or issuer.
- Robust demand for BAT's bond issue
- "With robust demand from investors, and average over-subscription of 4.7x per tranche, BAT was able to tighten levels 25bps from Initial Price Thoughts across the curve, printing $5bn over 5, 7, 10, 20 and 30 year tenors."
- ACT Deals of the Year Awards 2023: Bonds above £750m winner.
4. Markets - growth.
In developing markets, robust economic development means relatively rapid and sustainable development and growth.
"The Energy Transitions Commission... aims to accelerate change towards low-carbon energy systems that enable robust economic development and limit the rise in global temperature through appropriate energy policies."
(Energy Transitions Commission - the Treasurer's Wiki.)
