Description
All investments carry with them some degree of risk. In the financial world, individuals, professional money managers, financial institutions, and many others encounter and must deal with risk. Risk management is a process of determining what risks exist in an investment and then handling those risks in the best-suited way. This is important because it can reduce or augment risk depending on the goals of investors and portfolio managers.The main purpose of Investment Risk Management is to provide an overview of developments in risk management and a synthesis of research involving these developments. The book examines ways to alter exposures through measuring and managing those exposures and provides an understanding of the latest strategies and trends within risk management. The scope of the coverage is broad and encompasses the most important aspects of investment risk management. Its 30 chapters are organized into six sections: (1) foundations of risk management, (2) types of risk, (3) quantitative assessment of risk, (4) risk and risk classes, (5) hedging risk and (6) going forward.The book should be of particular interest to sophisticated practitioners, investors, academics, and graduate finance students. Investment Risk Management provides a fresh look at this intriguing but complex subject.
Table of Contents
SECTION ONE FOUNDATIONS OF RISK MANAGEMENT1. Investment Risk Management: An OverviewH. Kent Baker and Greg Filbeck2. Measuring and Managing RiskRaimund M. Kovacevic, Georg Ch. Pflug, and Alois Pichler3. How Risk Management Adds ValueM. Martin Boyer and Monica Marin4. Accounting and Risk ManagementMark Bradshaw and Bjorn JorgensenSECTION TWO TYPES OF RISK5. Market RiskRamon P. Degennaro and Chanaka P. Edirisinghe6. Credit Risk Measurement and ManagementNorbert J. Jobst7. Operational RiskPavel V. Shevchenko8. Liquidity RiskKose John, Samir Saadi, and Hui Zhu9. Country Risk: Determinants, Measures, and ImplicationsAswath Damodaran10. Systemic RiskAndreas Krause11. Behavioral RiskM. Martin Boyer, Franca Glenzer, and Samuel Ouzan12. Governance Risk: A Guide for InvestorsDidier Cossin13. Inflation Risk: Causes and Instruments for ProtectionClaus Huber, Felix Gasser, and Nicolas Bürkler14. Risk Aggregation and Capital ManagementSumit MathurSECTION THREE QUANTITATIVE ASSESSMENT OF RISK15. Value-at-Risk and Other Risk MeasuresMarkus Lieppold16. Stress TestingMartin ?ihák17. Risk Management and RegulationDavid E. Allen, Robert J. Powell, and Abhay K. Singh18. Risk BudgetingGregg Fisher, Tim Nguyen, and Cristian I. Tiu19. Risk-Adjusted Performance MeasurementPilar Grau Carles20. Risk Attribution AnalysisPhilippe BertrandSECTION FOUR RISK AND ASSET CLASSES21. Risk and Mortgage-Backed Securities in a Time of TransitionHarold C. Barnett22. Credit Value AdjustmentJames T. Moser23. Risk Management and Hedge FundsRazvan PascalauSECTION FIVE HEDGING RISK24. OptionsKit Pong Wong, Greg Filbeck, and H. Kent Baker25. Trading Futures to Manage RiskLudwig B. Chincarini26. SwapsDimitris Tsouknidis and Elias Boukrami27. The Economics of Credit DerivativesUdo Broll, Simone Raab, and Peter Welzel28. Foreign Exchange Derivatives in Frontier MarketsOthmane Boukrami and Bert van LierSECTION SIX GOING FORWARD29. Risk Management and Financial DisastersGabriele Sabato30. The Future of Risk ManagementHunter M. Holzhauer
