Credit risk diversification: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Update.)
imported>Doug Williamson
m (Categorise.)
Line 11: Line 11:
* [[Maturity transformation]]
* [[Maturity transformation]]
* [[Portfolio]]
* [[Portfolio]]
[[Category:Financial_risk_management]]

Revision as of 14:37, 28 February 2018

The potential benefit of a reduction in total credit risk, achieved by holding a well-diversified portfolio of loans or other assets.

Credit risk diversification is one of the economic functions of banks and other financial intermediaries.


See also