The Essentials of Risk Management, Chapter 2 - Corporate Risk Management--A PrimerHere is a chapter from The Essentials of Risk Management, a practical, non-ivory tower approach that is necessary to effectively implement a superior risk management program. Written by three of the leading figures with extensive practical and theoretical experience in the global risk management and corporate governance arena, this straightforward guidebook features such topics as governance, compliance and risk management; how to implement integrated risk management; measuring, managing and hedging market, and more. |
Common terms and phrases
According to Culp accounting profits agement British pounds business risk capital markets assumption cash flows CDOS CFOs chapter Commodity commonly managed risk Company’s contango corporate governance corporate risk management Culp and Miller currency futures Currency swaps derivative positions Dynamic strategies earnings economic risk engage in risk Equity index Eurodollar example exchange rates favor of hedging financial instruments Financial Risk Management FIRMS HEDGE firms use derivatives foreign exchange Fortune 500 futures contract hedging activities Hedging Risks hedging strategy implement investment investors Japanese yen Journal of Finance liquidate the hedge loan long-term Merck Metallgesellschaft MGRM MGRM’s operations percent practical price in euros primarily the euro purchase put option Reducing volatility relevant risk exposure risk management instruments risk management program risk management strategy risky positions Senior management shareholders sheet risk management specific static strategy strike price T-note futures theoretical arguments transaction costs U.S. company U.S. firm underlying