Risk is a loss or consequence of action which is created from uncertainty.
According to John J. Hampton,” Risk may be defined as the likelihood that the actual return from an investment will be less than that forecast return.”
According to Besely and Brigham,” Risk can be defined as the chance that some event other than expected will occur.”
According to L.J. Gitman,” Risk is the financial loss or more formally, the variability of returns associated with a given assets.”
According to Irvin pfeffer,” Risk is a combination of hazards measured by probability.”
Mainly, there are three kinds of risk. Such as-
2.Financial Risk, and
More from this Section
- Credit option
Credit option is an agreement between a bank or other lending institution and an option writer that is designed to protect a lender against possible loss due to declines in the value of some of its assets
- Indirect taxes
Indirect taxes are taxes, which are charged on goods produced, imported or exported: Excise and Customs duties
- Overdraft on Current Account
An overdraft allows to borrow money for a short period of time through current account. So, it is a credit facility for a current account customer.
- Customer privacy
Customer privacy is the protecting the personal information that customers supply to their financial service providers so that customers
- The Current Account of the BOP
In balance of payments, the Current Account includes all international economic transactions with income or payment flows occurring within the year...
- Direct Deposit
Direct deposit lets the user authorize specific deposits, such as paychecks and social security checks, to his account on a regular basis.
- Export Documentary Credit Negotiated
Export Documentary Credit Negotiated bank facility which records the liability for negotiation or purchase of Bill of exchange under export