Risk appetite
From ACT Wiki
The amount of risk that an organisation is willing to accept in pursuit of value, improved financial performance or of other benefits, with management responsible for setting boundaries or parameters for risk taking.
Risk appetite will be within or equal to the maximum risk tolerance. Any risk responses should be designed such that the 'net' (residual) risk after considering controls does not exceed these boundaries.
Risk appetite is sometimes also known as risk attitude, risk capacity or risk tolerance.
See also
Other links
Risk appetite and risk tolerance: Practical guidance, www.theirm.org
