Risk management policy and Yield to worst: Difference between pages

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An organisation's overall objectives and higher-level practices in relation to risk management.
The worst yield that an investor could receive on a security, without there being a default by the issuer.


Risk management policy is usually documented in a written form.
The calculation of the Yield to worst assumes 'worst case' outcomes - from the investor's perspective - for example in relation to the exercise of any options in favour of the issuer.




== See also ==
* [[Yield to maturity]]


== See also ==
[[Category:Financial_products_and_markets]]
* [[Risk management]]

Latest revision as of 20:27, 27 June 2022

The worst yield that an investor could receive on a security, without there being a default by the issuer.

The calculation of the Yield to worst assumes 'worst case' outcomes - from the investor's perspective - for example in relation to the exercise of any options in favour of the issuer.


See also