Investment Risk Measurement & Management

Overview:

Observation number one: Not all Risk is bad. Too much risk aversion will likely result in missing out on upside opportunities. 

Risk management involves defining what level of risk is deemed acceptable & then striving to target those appropriate levels.

However, Risk cannot be managed easily unless it can be measured. There is no silver bullet out there for this task, but a range of tools to be employed where appropriate.

Why you should Attend:

Have you noticed that Markets tend to go up slowly & down quickly? Human behaviour observable within the Financial Markets.

This program is designed to offer an insight into the (traditionally numerically impenetrable) world of Risk from an Investor standpoint.

Investors have historically & understandably been reluctant to embrace the reality of downside risk when considering the scope for upside returns. Unfortunately, as Night follows Day, Financial Markets will always act as a reminder of both sides of this coin.

Areas Covered in the Session:

• Measuring Investable risk
• Volatility - Statistical probability and the dispersion of returns
• Do we live in a ‘Normal’ world?
• Fat Tails in Finance & Black Swans explained. 
• A look at Wall Street’s ‘Fear Gauge’ - The Vix Index
• A tool from the Sell Side of the Market - Value at Risk - will it work?
• Tools from the Buy Side of the Market - Sharpe & Information Ratios - Risk adjusted performance measurement

Who Will Benefit:

• Middle & Back Office Professionals from Exchanges
• Regulators
• Asset Managers
• FinTechs
• Fund Administrators
• Investment Banks
• Wealth Managers
• Custodians
• Clearing Houses