Financial risk and Institute of Actuaries: Difference between pages

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1.  
(IOA).  


Financial risk in the Capital asset pricing model means the component of total risk resulting from a firm’s capital structure.  
Formerly one of the two professional actuarial bodies in the UK, based in London - the other one being the Faculty of Actuaries.


The more net debt in the capital structure, the greater the financial risk.
The Institute merged with the Faculty of Actuaries to form the Institute and Faculty of Actuaries.  
 
 
2.
 
The term is also used more generally to mean the wider risk of uncertain financial outcomes. 
 
For example the risks arising from not knowing the home currency value of a foreign currency receipt in the future, or the uncertainty regarding the size of future interest payments on floating rate borrowings.




== See also ==
== See also ==
* [[Asset beta]]
* [[Actuary]]
* [[Business risk]]
* [[Faculty of Actuaries]]
* [[Capital asset pricing model]]
* [[Institute and Faculty of Actuaries ]]
* [[Equity risk]]
* [[Financial price risk]]
* [[Ungeared beta]]
 
 
==Other links==
[http://www.treasurers.org/node/8443  Masterclass: Measuring financial risk, Will Spinney, The Treasurer, July/August 2012]
 
[[Category:Manage_risks]]

Revision as of 16:06, 20 January 2016

(IOA).

Formerly one of the two professional actuarial bodies in the UK, based in London - the other one being the Faculty of Actuaries.

The Institute merged with the Faculty of Actuaries to form the Institute and Faculty of Actuaries.


See also