Financial risk and IDA: Difference between pages

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imported>Doug Williamson
(Link with Risk taxonomy)
 
imported>Doug Williamson
(Changed 'agency' to 'association' and additional link. Source: http://www.worldbank.org/ida/what-is-ida.html)
 
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1.
International Development Association.
 
Financial risk in the Capital asset pricing model means the component of total risk resulting from a firm’s capital structure.
 
The more net debt there is in the capital structure, the greater the financial risk.
 
 
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]]
* [[World Bank]]
* [[Business risk]]
* [[International Bank for Reconstruction and Development]]
* [[Capital asset pricing model]]
* [[Equity risk]]
* [[Financial price risk]]
* [[Operational risk]]
* [[Risk taxonomy]]
* [[Ungeared beta]]
* [[Guide to risk management]]
 
 
===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 15:32, 20 January 2016

International Development Association.


See also