Financial Risk Management

Course contents
  • What is risk management? Historical developement of risk management. Credit risk, Market risk, Process risk, Information risk etc. Economic analysis of risk. Risk vs. uncertainty. Measuring: Losses, Mu-sigma-rule, Value at risk, Expected shortfall. Sensitivity. Portfolio analysis; Tobin's separation model, limits of diversification. Prevention, avoidance, spreading and transfer of risk. Using and evaluating derivatives. Risk management caveats.