Cleanup date January 2011 notability date November 2011 Risk IT provides an end to end, comprehensive view of all risk s related to the use of Information technology IT and a similarly thorough treatment of risk management, from the tone and culture at the top, to operational issues. Risk IT was published ... FW 18Nov09 Research.pdf ISACA THE RISK IT FRAMEWORK registration required ref It is the result of a work ... such as IBM , PricewaterhouseCoopers , Risk Management Insight , Swiss Life , and KPMG . Definition IT risk is a part of business risk specifically, the business risk associated with the use, ownership ... Management of business risk is an essential component of the responsible administration of any organization. Due to IT s importance to the overall business, IT risk should be treated like other key business risks. The Risk IT framework ref name RITF explains IT risk and enables users to Integrate the management of IT risk with the overall Enterprise risk management ERM Compare assessed IT risk with risk appetite and risk tolerance of the organization Understand how to manage the risk IT risk ... issue of IT department. IT risk can be categorised in different ways IT Benefit Value enabler risks ... business i.e. the risk of over budget or late delivery or not delivery at all of these projects ... of IT that can bring issues, inefficiency to the business operations of an organization The Risk IT framework is based on the principles of enterprise risk management standards frameworks such as COSO ERM and ISO 31000 . In this way IT risk could be understood by upper management. Risk IT principles Risk IT is built around the following principles ref name RITF always align with business objectives align the IT risk management with ERM balance the costs and benefits of IT risk management promote ... accountability are a continuous process and part of daily activities IT risk communication components Major IT risk communication flows are Expectation what the organization expects as final ... more details
2011 Risk is the potential that a chosen action or activity including the choice of inaction will lead ... endeavor carries some risk, but some are much more risky than others. File 3 Alarm Building Fire.jpg ... use of the word in English in the spelling of risque as from 1621, and the spelling as risk from 1655. It defines risk as blockquote Exposure to the possibility of loss, injury, or other adverse or unwelcome ... ref blockquote For the sociologist Niklas Luhmann the term risk is a neologism that appeared with the transition ... Eastern and North African Arab traders. In the English language the term risk appeared only in the 17th ... of risk took ground, it replaced the older notion that thought in terms of good and bad Luck ... February 2007 The scientific approach to risk entered finance in the 1960s with the advent of the capital ... by the United States Environmental Protection Agency . Definitions of risk ISO31000 2009 Risk Management Standard The ISO 31000 2009 ISO Guide 73 definition of risk is the effect of uncertainty on objectives .... Many definitions of risk exist in common usage, however this definition was developed ... subject matter experts. Other definitions of risk The many inconsistent and ambiguous meanings attached to risk lead to widespread confusion and also mean that very different approaches to risk management are taken in different fields. ref Douglas Hubbard The Failure of Risk Management Why It s Broken and How to Fix It , John Wiley & Sons, 2009. ref For example ref E.g. Risk is the unwanted subset of a set of uncertain outcomes. Cornelius Keating . ref Risk can be seen as relating to the Probability ... Risk , risk is ref name FAIRW http www.riskmanagementinsight.com media docs FAIR introduction.pdf An Introduction to Factor Analysis of Information Risk FAIR , Risk Management Insight LLC ... this definition is used by The Open Group . ref name OGC081 Technical Standard Risk Taxonomy ISBN ... Health & Safety Advisory Services defines risk as the product of the probability of a hazard resulting ... more details
Information technology risk , or IT risk , IT related risk , is a risk related to information technology ... RiskRisk as a vector quantity risk is strictly tied to uncertainty, Decision theory should be applied to manage risk as a science, i.e. rationally making choices under uncertainty. Generally speaking, risk is the product of likelihood times impact Risk Likelihood Impact . ref Risk is a combination ... or ill health that can be caused by the event or exposure s OHSAS 18001 2007 . ref The measure of an IT risk ... quote ref laysummary laydate separator postscript lastauthoramp ref Risk Threat Vulnerability Asset Value Definitions Definitions of IT risk come from different but authoritative sources. ISO IT risk the potential that a given threat computer threat will exploit vulnerability computing vulnerabilities ... name ISO27005 ISO IEC, Information technology Security techniques Information security risk management ... Systems of United States United States of America defined risk in different documents From CNSS ... Risk Possibility that a particular threat will adversely impact an IS by exploiting a particular ... Security Committee ref introduces a probability aspect, quite similar to NIST SP 800 30 one Risk A combination ... Training and Education Center defines risk in the IT field as ref http niatec.info Glossary.aspx?term ... vulnerability pairs. Reducing either the threat or the vulnerability reduces the risk. The uncertainty ... of the system. NIST Many NIST publications define risk in IT contest in different publications ... index.php?title Term Risk FISMApedia Risk term ref provide a list. Between them According ... SP 800 30 Risk Management Guide for Information Technology Systems ref Risk is a function of the likelihood ... Information and Information Systems ref Risk The level of impact on organizational operations ... of that threat occurring. NIST SP 800 30 ref name SP80030 defines IT related risk The net mission ... and diligence in the implementation and operation of the IT system. Risk management insight IT risk ... more details
Infobox Film name At Risk image caption director Elana K. Pyle writer Elana K. Pyle br David E. Pyle starring Elana K Plye br Kim Myers Kim Meyers br Daniel McDonald actor Daniel McDonald br Vince Vaughn producer Kari Nevil br David E. Pyle music Kevin Hedges cinematography David Scardina editing James Philip Curtis br Robert Grahamjones distributor released 1994 runtime 95 min country Film US language English budget At Risk is a 1994 film about a woman name Lara, after spending a year in Mexico unsuccessfully trying to save her marriage to Steven, returns to the U.S. to find Max, her lover in this AIDS cautionary tale. Starring Elana K. Pyle as Lara Wade Daniel McDonald actor Daniel McDonald as Steven Wade Kim Myers Kim Meyers as Jennifer Rich Vince Vaughn as Max Nolan Shirley Anne Field as Mrs. Nolan Randy Travis as Ellison Matthew Flint as Mark References reflist External links IMDb title 0109165 Amg movie 133955 http movies.yahoo.com movie 1809402653 info At Risk 1994 at Yahoo Movies Category 1994 films Category American films Category Romantic drama films Category English language films Category Independent films indie film stub ... more details
Risk and compliance may refer to Legal governance, risk management, and compliance Governance, risk management, and compliance Internal audit dab ... more details
Risk reduction may refer to Absolute risk reduction or Relative risk reduction , statistical descriptors of an intervention. Risk management Safety Integrity Level Hedge finance disambig Long comment to avoid being listed on short pages ... more details
High Risk may refer to High Risk TV series High Risk TV series , 1988 American television series High Risk 1995 film High Risk 1995 film , an action film starring Jet Li High Risk 1981 film High Risk 1981 film , a film written and directed by Stewart Raffill High Risk novel , written under the pseudonym, Carolyn Keene High Risk Books , a defunct publisher in New York City disambig ... more details
wiktionary riskRisk or risks may refer to Risk , the variability in possible outcomes, usually in reference to the possibility of negative results Risk assessment , the measurement or modeling of risk. Risk management , mitigation of risk using managerial resources Risk game Risk game , a strategy board game of world conquest Risk Megadeth album Risk Megadeth album , a 1999 album by the metal band Megadeth Risk Terminaator album Risk Terminaator album , a 2001 album by rock band Terminaator Risk Paul Brandt album Risk Paul Brandt album , a 2007 album by country music singer Paul Brandt Risk Ten Shekel Shirt album Risk Ten Shekel Shirt album , 2003 Risk film Risk film , a 2007 Bollywood film directed by Vishram Sawant Risk magazine Risk magazine , a financial magazine covering risk management Risk short story Risk short story , a 1955 science fiction short story by Isaac Asimov Risk comics , a DC comics character and member of the Teen Titans RISKS Digest , an online computer security periodical published by the ACM Risk statistics Risk , book by John Adams geographer Risky may refer to Risky album Risky album , a studio album by Japanese band B z See also RISC disambiguation Disambig de Risk es Risk desambiguaci n fr Risk homonymie ru sv Risk olika betydelser tr Risk anlam ayr m ... more details
unreferenced date November 2010 dicdef Government risk is an investment term used to collectively describe the impact of prospective changes in legislation, policies of the executive branch within existing legislation, and corruption. It is typically referenced as distinct from other forms of risk, such as market risk , credit risk , price risk, and natural risk when assessing the viability of an investment project. Distinction from Country Risk It is often confused with the term country risk when assessing investments in foreign countries, but government risk is in fact a subset of country risk. Specifically, government risk refers only to interactions with government, but not the following elements of country risk crime and property security currency risk different cultural norms around business ethics monopolies or business conglomerate power within in country markets Category Financial risk ... more details
The residual risk is the risk or Risk danger of an action or an event, a method or a technical process that, although being abreast with science, still conceives these dangers, even if all theoretically possible safety measures would be applied scientifically conceivable measures . The formula to calculate residual risk is inherent risk x control risk where inherent risk is Coercion threat s vulnerability . In the economic context, residual means the quantity left over at the end of a process a remainder dictionary.com . In the property rights model it is the shareholder that holds the residual risk and therefore the residual profit . See also Disambiguation needed Risk analysis date June 2011 a residual risk is a portion of the risk that is left after a risk assessment has been conducted. External links http www.economist.com research Economics alphabetic.cfm?LETTER R RESIDUAL 20RISK Economist.com http www.euronuclear.org info encyclopedia r residual risk.htm Euronuclear.org Category Risk de Restrisiko ... more details
Unreferenced stub date December 2009 cleanup date May 2010 Financial risk types Legal risk is risks that counterparty are not legally able to enter into a contract. Another legal risk relates to regulatory risk, i.e., that a transaction could conflict with a regulator s policy or, more generally, that legislation might change during the life of a financial contract. The Risk Principle The Risk Principle is an area of law closely tied to Causation in English law legal causation in negligence . It provides limits on negligence for harm caused unforeseeably. Financial risk DEFAULTSORT Legal Risk Category Financial risk Category Law by forum Finance stub ar id Risiko hukum ... more details
distinguish systemic risk Refimprove date July 2007 In finance , systematic risk , sometimes called market risk , aggregate risk , or undiversifiable risk , is the financial riskrisk associated with aggregate financial market market returns. By contrast, unsystematic risk , sometimes called Modern portfolio theory Asset pricing specific risk , idiosyncratic risk , residual risk , or diversifiable risk , is the company specific or industry specific risk in a portfolio finance portfolio , which is uncorrelated with aggregate market returns. Unsystematic risk can be mitigated through diversification finance diversification , and systematic risk can not be. ref http www.investopedia.com terms u unsystematicrisk.asp ref Systematic risk should not be confused with systemic risk , the risk of loss from some catastrophic event that collapses the entire financial system . Example For example, consider ... risk than the diversified portfolio. Finally, if the setback were to affect the entire industry instead, the investors would incur similar losses, due to systematic risk. Systematic risk is essentially ... from the structure and dynamics of the market. Systematic risk and portfolio management Given diversified holdings of assets, an investor s exposure to unsystematic risk from any particular asset is small and uncorrelated with the rest of the portfolio. Hence, the contribution of unsystematic risk ... model , the rate of return required for an asset in market equilibrium depends on the systematic risk ... unsystematic risk of default. Their loss due to default is credit risk , the unsystematic portion of which is concentration risk . At the portfolio level, unsystematic risk can be diversified away whilst systematic cannot be diversified away. References references See also Systemic risk Modern portfolio theory Capital asset pricing model Risk modeling Taleb distribution Financial risk DEFAULTSORT Systematic Risk Category Financial markets Category Financial risk Category Economic systems econ ... more details
Unreferenced stub date December 2009 Financial risk types Equity risk is the risk that one s investments will depreciate because of stock market dynamics causing one to lose money . The measure of risk used in the equity markets is typically the standard deviation of a security s price over a number of periods. The standard deviation will delineate the normal fluctuations one can expect in that particular security above and below the mean, or average. However, since most investors would not consider fluctuations above the average return as risk , some economists prefer other means of measuring it. Financial risk Category Stock market Risk Category Financial risk Econ stub vgvgv ar ... more details
Downside risk is the financial risk associated with losses. That is, the risk of difference between the actual return and the expected return when the actual return is less , or the uncertainty of that return. ref cite book title Quantitative risk management concepts, techniques and tools first1 Alexander J. last1 McNeil first2 R diger last2 Frey first3 Paul last3 Embrechts publisher Princeton University Press year 2005 isbn 9780691122557 pages 2 3 ref ref cite book title Essentials of financial risk management first1 Karen A. last1 Horcher publisher John Wiley and Sons year 2005 isbn 9780471706168 pages 1 3 ref Risk measure s typically quantify the downside risk, whereas the standard deviation an example of a deviation risk measure measures both the upside and downside risk. References Reflist finance stub Category Basic financial concepts Category Financial risk ... more details
Unreferenced date December 2009 Basis risk in finance is the risk associated with imperfect Hedge finance hedging using Futures contract future s. It could arise because of the difference between the asset whose price is to be hedged and the asset underlying the Derivative finance derivative , or because of a mismatch between the expiration date of the Futures contract futures and the actual selling date of the asset. Under these conditions, the spot price of the asset, and the futures price, do not converge on the expiration date of the future. The amount by which the two quantities differ measures the value of the basis risk. That is, Basis Spot price of hedged asset Futures price of contract Example Of Basis Risk Treasury bill future being hedged by two year Bond, there lies the risk of not fluctuating as desired. See also Risk Uncertainty Financial risk management List of finance topics DEFAULTSORT Basis Risk Category Financial risk ... more details
orphan date August 2009 Manufactured risks are risks that are produced by the modernization process, particularly by innovative developments in science and technology. They create risk environments that have little historical reference, and are therefore largely unpredictable. Manufactured risk produces a risk society . References Giddens, Anthony 1999 Risk and Responsibility Modern Law Review 62 1 4 Category Risk technology stub ... more details
one source date May 2010 Financial risk types Commodity risk refers to the uncertainties of future market value s and of the size of the future income , caused by the fluctuation in the prices of commodity commodities . ref citebook title Financial Sector Assessment author International Monetary Fund year 2005 publisher ISBN 0821364324 ref These commodities may be grain s, metal s, gas , electricity etc. A commodity enterprise needs to deal with the following kinds of risks Price riskRisk arising out of adverse movements in the world prices, exchange rates, basis between local and world prices Quantity risk Cost risk Input price risk Political risk Groups at Risk There are broadly four categories of agents who face the commodities risk Production, costs, and pricing Producers farmers, plantation companies, and mining companies face price risk, cost risk on the prices of their inputs and quantity risk Buyer s cooperatives, commercial traders and trait ants face price risk between the time of up country purchase buying and sale, typically at the port, to an exporter. Exporter s face the same risk between purchase at the port and sale in the destination market and may also face political risks with regard to export licenses or foreign exchange conversion. Governments face price and quantity risk with regard to tax revenues, particularly where tax rates rise as commodity prices rise generally the case with metals and energy exports or if support or other payments depend on the level of commodity prices. See also Fuel price risk management Sprott Molybdenum Participation Corporation Uranium Participation Corporation References refs Financial risk Category Financial risk Category Commodities Risk ... more details
Unreferenced date January 2007 Financial risk types Concentration risk is a bank banking term denoting the overall spread of a bank s outstanding accounts over the number or variety of debtor s to whom the bank has lent money. This risk is calculated using a concentration ratio which explains what percentage of the outstanding accounts each bank loan represents. For example, if a bank has 5 outstanding loans of equal value each loan would have a concentration ratio of .2 if it had 3, it would be .333. Various other factors enter into this equation in real world applications, where loans are not evenly distributed or are heavily concentrated in certain economic sectors. A bank with 10 loans, valued at 10 dollars a piece would have a concentration ratio of .10 but if 9 of the loans were for 1 dollar, and the last was for 50, the concentration risk would be considerably higher. Also, loans weighted towards a specific economic sector would create a higher ratio than a set of evenly distributed loans because the evenly spread loans would serve to offset the risk of economic downturn and Default finance default in any one specific industry damaging the bank s outstanding accounts. Risk of default finance default is an important factor in concentration risk. The basic issue raised by the concept of default risk is does the risk of default on a bank s outstanding loans match the overall risk posed by the entire economy or are the bank s loans concentrated in areas of higher or lower than average risk based on their volume, type, amount, and industry. Types of Concentration Risk There are two types of concentration risk. These types are based on the sources of the risk. Concentration risk can arise from uneven distribution of exposures or loan to its borrowers. Such a risk is called Name Concentration risk. Another type is Sectoral Concentration risk which can arise from uneven distribution of exposures to particular sectors, regions, industries or products. Financial risk economics ... more details
Unreferenced date December 2009 Financial risk types Reinvestment risk is one of the main genres of financial risk . The term describes the risk that a particular investment might be canceled or stopped somehow, that one may have to find a new place to invest that money with the risk being there might not be a similarly attractive investment available. This primarily occurs if Bond finance bonds which are portions of loan s to entities are paid back earlier than expected. Consequences The risk resulting from the fact that interest or dividends earned from an investment may not be able to be reinvested in such a way that they earn the same rate of return as the invested funds that generated them. For example, falling interest rates may prevent bond coupon payments from earning the same rate of return as the original bond. Pension funds are also subject to reinvestment risk especially with the short term nature of cash investments there is always the risk that future proceeds will have to be reinvested at a lower interest rate. See also Financial risk Liquidity risk Financial risk DEFAULTSORT Reinvestment Risk Category Finance ... more details
Financial risk types Reputational risk , often called reputation risk , is a type of risk related to the trustworthiness of business. Damage to a firm s reputation can result in lost revenue or destruction of shareholder value , even if the company is not found guilty of a crime. Reputational risk can be a matter of corporate trust, but serves also as a tool in crisis prevention. ref http www.ffiec.gov ffiecinfobase booklets retail retail 03b.html ref This type of risk can be informational in nature or even financial. Extreme cases may even lead to bankruptcy as in the case of Arthur Andersen . Recent examples of companies include Toyota , Goldman Sachs , Oracle Corporation and BP . The reputational risk may not always be the company s fault as per the case of the Tylenol cyanide panic after seven people died in 1982. ref http www.time.com time magazine article 0,9171,960693,00.html ref See also Reputation management Audit Enterprise risk management COSO ERM framework COSO framework, Risk management Quality audit Continuous auditing Center for Audit Quality References Reflist External links http www.ffiec.gov ffiecinfobase booklets retail retail 03b.html U.S. FFIEC s definition http findarticles.com p articles mi m0ITW is 1 85 ai n14897163 Managing Reputational risk Financial risk Category Auditing Category Reputation management Risk de Reputationsrisiko ... more details
Expert subject Business date June 2008 A Risk Register is a Risk Management tool commonly used in Project Management and organisational risk assessments. It acts as a central repository for all risks identified by the project or organisation and, for each risk, includes information such as risk probability, impact, counter measures, risk owner and so on. It can sometimes be referred to as a Risk Log for example in PRINCE2 . Example contents A wide range of suggested contents for a risk register exist ... among others. In addition many companies provide software tools that act as risk registers. Typically a risk register contains A description of the risk The impact should this event actually occur The probability of its occurrence Risk Score the multiplication of Probability and Impact A summary ... to reduce the probability and or impact of the event The risks are often ranked by Risk Score so as to highlight the highest priority risks to all involved. Example Risk Register in table format Risk Register for project birthday party class wikitable border 1 Risk Category Risk Name Risk Number Probability 1 3 Impact 1 3 Risk Score Mitigation Contingency Action By Action When Guests The guests ... In a qualitative risk register descriptive terms are used for example a risk might have a High impact and a Medium probability. In a quantitative risk register the descriptions are enumerated for example a risk might have a 1m impact and a 50 probability. Contingent response the actions to be taken should the risk event actually occur. Contingency the budget allocated to the contingent response Trigger an event that itself results in the risk event occurring for example the risk event might be flooding and heavy rainfall the trigger See also Risk Event chain methodology Risk Breakdown Structure Risk management tools Issue log References reflist Further reading cite book author Tom Kendrick year 2003 title Identifying and Managing Project Risk Essential Tools for Failure Proofing Your Project ... more details
cleanup date January 2008 Financial risk types Basel II Market risk is the risk that the value of a portfolio, either an investment portfolio or a trading portfolio, will decrease due to the change in value of the market risk factors. The four standard market risk factors are stock prices, interest rates, foreign exchange rates, and commodity prices. The associated market risks are Equity risk , the risk ... will change. Interest rate risk , the risk that interest rates e.g. Libor , Euribor , inflation , etc. and or their implied volatility will change. Currency risk , the risk that foreign exchange rates .... Commodity risk , the risk that commodity prices e.g. corn , copper , crude oil , etc. and or their implied volatility will change. Measuring the potential loss amount due to market risk As with other forms of risk, the potential loss amount due to market risk may be measured in a number of ways or conventions. Traditionally, one convention is to use Value at Risk . The conventions of using Value at risk is well established and accepted in the short term risk management practice. However, it contains ..., many of the positions in the portfolio may have been changed. The Value at Risk of the unchanged ... Value at Risk also assumes that historical correlations are stable and will not change in the future ... of U.S. corporations In the United States , a section on market risk is mandated by the United States ... or foreign exchange futures. Risk management All businesses take risks based on two factors .... References reflist cite book author Dorfman, Mark S. title Introduction to Risk Management and Insurance 6th ed. publisher Prentice Hall year 1997 isbn 0 13 752106 5 See also Systemic risk Cost risk Demand riskRisk modeling Risk attitude Modern portfolio theory External links http www.coopext.colostate.edu ... ifdebook faq Hedge.shtml How hedge funds limit exposure to market risk Financial risk Category Financial risk af Markrisiko bg da Markedsrisiko de Marktrisiko el es Riesgo ... more details
Unreferenced stub auto yes date December 2009 In economics and finance , a risk lover is a person who has a preference for risk . While most investment investors are considered risk averse , one could view casino goers as risk loving. If offered either 50 or a 50 chance of each of 100 and nothing, a risk seeking person would prefer the gamble even though the gamble and the sure thing both have the same expected value in fact, the risk lover would be indifferent to accepting a less than 50 chance of 100 versus the sure 50 how much less would depend on how risk loving the person is . The risk lover would also be indifferent to a 50 chance of each of X and nothing versus the sure 50, where X is some amount less than 100 again, how much less would depend on how risk loving the person is . The risk loving behavior can be observed in the negative domain math x 0 math for Prospect theory value functions, where the functions are convex for math x 0 math while the functions are concave for math x 0 math . The risk loving utility function Choice under uncertainty is often characterized as the maximization of expected utility . Utility is often assumed to be a function of profit or final portfolio wealth, with a positive first derivative . The utility function whose expected value is maximized is convex function convex for a risk lover, concave function concave for a risk averse agent, and linear for a risk neutral agent. Its convexity in the risk loving case has the effect of causing a mean preserving spread of any probability distribution of wealth outcomes to be preferred over the unspread distribution. DEFAULTSORT Risk Loving Category Business economics Category Risk Category Financial risk Category Economics of uncertainty Category Utility Category Personality Finance stub is h ttus kni ... more details
morefootnotes date June 2011 Active Risk London Stock Exchange LSE ARI formerly known as Strategic Thought Group , is a software company that specialises in enterprise wide risk management ERM and governance, risk and compliance GRC software. Corporate history Strategic Thought was founded in 1987 as a specialist technology company in London, England. In 2001, Active Risk Manager ARM , enterprise wide risk management ERM and governance, risk and compliance GRC software was launched and today is the company s flagship product. The company is publicly listed on the London Stock Exchange Alternative Investment Market and has offices in Maidenhead, England and Herndon, Virginia . Active Risk Manager is used by major global organizations such as NASA , US Air Force , London Underground , EADS and Nestl . ARM was awarded Risk Management Application of the Year in 2010 at the global Risk Management Awards run in conjunction with the Institute of Risk Management . ref cite web url http rmprofessional.com rm risk management awards announced.php author Graham Buck date 2010 11 19 title Risk Management Awards 2010 announced accessdate 2011 06 13 publisher Rmprofessional.com ref In 2011, Strategic Thought Group re branded the company and is now known as Active Risk. ref cite web url http www.prfire.co.uk press release strategic thought group becomes active risk and renews its commitment to provide great risk management and enterprise grc software to customers 66200.html author Helen Spendlove date 2011 05 18 title Strategic Thought Group becomes Active Risk accessdate 2011 06 13 publisher prfire.co.uk ref References Reflist External links Official http www.activerisk.com Categories Category Articles created via the Article Wizard Category Risk management companies Category Risk management software ... more details
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