Finance School of Management Contents What is risk? Risk and economic decisions The risk management Process The Three dimensions of risk transfer Risk Transfer and Economic efficiency Institutions for Risk Management Portfolio Theory: Quantitative Analysis for Optimal Risk Management Probability Distributions of Returns Standard Deviation as a Measure of risk uesTc2 Finance School of Management ❖ What is Risk? ❖ Risk and Economic Decisions ❖ The Risk Management Process ❖ The Three Dimensions of Risk Transfer ❖ Risk Transfer and Economic Efficiency ❖ Institutions for Risk Management ❖ Portfolio Theory: Quantitative Analysis for Optimal Risk Management ❖ Probability Distributions of Returns ❖ Standard Deviation as a Measure of Risk Contents