Free market and Risk mitigation: Difference between pages

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imported>Doug Williamson
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''Economics.''
The use of techniques to reduce the likelihood or the potential size of adverse effects on the organisation. (But without avoiding or transferring the risk entirely.)


An economy where resources are allocated by the market by means of the market mechanism.
For example, requiring collateral from borrowers in order to mitigate credit risk.




== See also ==
== See also ==
* [[Fully planned economy]]
* [[Collateral]]
* [[Market mechanism]]
* [[Credit risk]]
* [[Mixed economy]]
* [[First line of defence]]


[[Category:Long_term_funding]]
[[Category:Financial_risk_management]]
[[Category:Corporate_finance]]
[[Category:Risk_frameworks]]

Revision as of 09:42, 5 August 2015

The use of techniques to reduce the likelihood or the potential size of adverse effects on the organisation. (But without avoiding or transferring the risk entirely.)

For example, requiring collateral from borrowers in order to mitigate credit risk.


See also