Concentration risk and Insurance: Difference between pages

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imported>Doug Williamson
(Create the page. Sources: PRA webpage http://www.bankofengland.co.uk/pra/Documents/crdiv/fsa051instructionsjan2016.pdf, BIS webpage http://www.bis.org/publ/bcbs_wp15.pdf)
 
imported>Doug Williamson
(Add links.)
 
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1. ''Bank funding''.
''Risk management - transferring & pooling risk.''


In bank funding, concentration risk arises when funding is sourced from too small a number of depositors, or an insufficiently diverse range of market instruments or sectors.
A contract designed to provide protection against specified types of risk or loss, by paying out to the insured party in the event that the insured loss occurs.
Insurance is generally provided by specialist insurance companies, to whom an insurance premium is paid by the insured in advance.


Also known as ''funding concentration risk''.


== See also ==
* [[Assurance]]
* [[Captive insurance company]]
* [[Chartered Insurance Institute]]
* [[Deposit insurance]]
* [[Financial Conduct Authority]]
* [[Fixing instrument]]
* [[Force majeure]]
* [[GI]]
* [[Hedging]]
* [[HMO]]
* [[IAIS]]
* [[ILS]]
* [[Insurable]]
* [[Insurance risk]]
* [[Insure]]
* [[Liquidity insurance]]
* [[Option]]
* [[Premium]]
* [[Price walking]]
* [[Reinsurance]]
* [[Risk]]
* [[Risk management]]
* [[Risk response]]
* [[Trade credit insurance]]
* [[Transfer]]
* [[Underwriting]]


 
[[Category:Financial_risk_management]]
2.
 
Exposure to losses from holding too narrow a range of investment assets, particularly credit losses.
 
 
==See also==
*[[Concentration]]
*[[Funding risk]]
*[[Herfindahl index]]
*[[Monopoly]]
*[[Cash concentration]]
*[[Concentrate]]

Revision as of 15:20, 7 December 2021

Risk management - transferring & pooling risk.

A contract designed to provide protection against specified types of risk or loss, by paying out to the insured party in the event that the insured loss occurs.

Insurance is generally provided by specialist insurance companies, to whom an insurance premium is paid by the insured in advance.


See also