Difference between revisions of "Tail risk"
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* [[Standard deviation]] | * [[Standard deviation]] | ||
* [[Tail event]] | * [[Tail event]] | ||
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| + | [[Category:Identify_and_assess_risks]] | ||
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Revision as of 22:44, 6 June 2020
The risk of adverse consequences from a 'tail event'.
Financial markets tend to have 'fat tails', meaning both the likelihood and the size of potential losses and other adverse consequences are systematically underestimated.
