Rewarded risk

From ACT Wiki
Revision as of 14:17, 20 August 2013 by Doug Williamson (Talk | contribs) (Spacing and category added)

Jump to: navigation, search

A rewarded risk is one which is associated with an expected benefit for the party accepting the risk.

For example a greater net return (or a smaller net cost) for the party accepting the risk.

So it may be rational - depending on the size and likelihood of the expected benefit, and the organisation's risk appetite and policy - to accept a rewarded risk.


See also