Financial Risk Management

Posted by Nirmalendu Chaudhuri on September 9th, 2015

Financial risk is inherent in any business environment. With the unique challenges that modern businesses and markets face, business owners and managers have a long list of things to consider protecting against these risks. Active management of market and financial risks requires accurate identification, evaluation, and measurement of underlying risks that can ultimately lead to worst case scenarios for businesses. Seeking the assistance of a professional financial risk management service will help your business managers understand the sources of risks make informed decisions and develop strategies to measure and mitigate risk.

Your financial risk manager is responsible in developing, validating, and enhancing your organisation's in-house risk measurement and management resources. It is also their responsibility to make sure that every step taken is in accordance with regulatory requirements as well as your strategic and overall business objectives. In today's modern business environment, companies should be mindful of different aspects of financial risks, such as interest rate risk, FX risk, and market risk counter party credit risk.

Both financial and non-financial institutions are susceptible to financial risk because all businesses are affected by different factors that drive market movements. Find a financial risk management service that can provide you with sound advice when it comes to the assessment, evaluation, and strategic management of all your funding risk, interest rate risk, liquidity risk, commodity price risk, and foreign exchange risk.

In a broad l sense, financial risk management refers to the practice of economic valuation in an organisation or enterprise by means of financial instruments that help evaluate and manage exposure to financial risks, particularly credit risk and market risk. Financial risk management is a lot like general risk management in that it requires the identification and measurement of risk sources and planning to address them.

About the Company:

Quant Fin is an independent consulting firm based in Australia. Quant Fin offers one-stop solution for your financial modelling, model validation, capital structuring, financial valuation and risk management to financial training requirements.