Risk capacity: Difference between revisions
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imported>Doug Williamson (Create the page to align with qualifications material CertTF Study Session 3 Reading 3.1 page 75.) |
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1. ''Banking''. | |||
The maximum level of risk a financial firm can assume within the constraints of its regulatory capital and liquidity obligations, and its obligations to depositors, other customers, and shareholders. | |||
2. | |||
In the non-financial sector, the term 'risk capacity' is sometimes used to mean very much the same as risk appetite. | |||
Revision as of 14:33, 31 October 2016
1. Banking.
The maximum level of risk a financial firm can assume within the constraints of its regulatory capital and liquidity obligations, and its obligations to depositors, other customers, and shareholders.
2.
In the non-financial sector, the term 'risk capacity' is sometimes used to mean very much the same as risk appetite.