--%>
Assignment Help - homework help

How is Value at Risk Used

How is Value at Risk Used?

E

Expert

Verified

VaR is usually understood to mean the maximum loss an investment could incur at a specified confidence level over a given time horizon. The other risk is, measures used in practice but it is the most common and simplest.

   Related Questions in Financial Management

  • Q : Risk-averse investor will pay off for

    The risk-averse investor will pay off for risk when he will take on an investment project. Explain

    		•
  • Q : Explain drawbacks of Brownian motion

    Explain drawbacks of Brownian motion.

    		•
  • Q : What did you meant by the Value of a

    What did you meant by the Value of a Contract? Answer: Value usually implies the theoretical cost of building up a new contract by simpler products, such as replicat

    		•
  • Q : Basic motivations for counterparty to

    Discuss the fundamental motivations for a counterparty to enter in a currency swap. One fundamental reason for a counterparty to enter in a currency swap is to exploit the comparative benefit of the other in gaining debt financing at a lower int

    		•
  • Q : Conditions for deterministic stock

    Explain the conditions for assuming a deterministic stock price path for an equity option.

    		•
  • Q : Diversifiable and non-diversifiable risk

    Explain the terms: diversifiable and non-diversifiable risk. Which one is more important to financial managers in business firms?

    		•
  • Q : Explain concept of company debt

    Who introduced the concept of company’s debt associated to the strike price and the maturity of the debt?

    		•
  • Q : Research paper Assignment: The

    Assignment: The objectives/purpose of the research paper project are to enable you to do a comprehensive financial analysis of a publicly traded corporation; and provide you with substantial information for you to make recommendations regarding investing in this corporation. You

    		•
  • Q : Define the term Leveraged Buy-Out or LBO

    Leveraged Buy-Out (LBO): It is a specific kind of acquisition in which the takeover of the controlling interest in a company is prepared by employing a noteworthy amount of borrowed capital from the banks and or capital markets. Inter

    		•
  • Q : Running of net balance of payments

    Explain how a country can run net balance of payments deficit or surplus.A country can run net BOP deficit or surplus by engaging in the official reserve transactions. For instance, an overall BOP deficit can be supported through drawing down th

    		•