Finance School of Management Risk exposure Particular types of risk one faces due to ones circumstances job, business, and pattern of consumption, etc Ⅲ ustrations the risk of a crop failure and the risk of a decline in the price for a farmer the risks of fire, theft, storm damage earthquake damage f or a house owner the currency risk for a person whose business involves imports or exports of goods uesTc7 Finance School of Management Risk Exposure ❖ Particular types of risk one faces due to one’s circumstances (job, business, and pattern of consumption, etc.) ❖ Illustrations – the risk of a crop failure and the risk of a decline in the price for a farmer – the risks of fire, theft, storm damage, earthquake damage for a house owner – the currency risk for a person whose business involves imports or exports of goods