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Reinvestment Risk

In relation to bonds, it is the risk (a type of interest rate risk) that the reinvestment rate will drop...

Roll Risk

The possible danger of loss that long-term hedgers face when reinvesting in more distant futures contracts as they retire near-month...

DCR

It stands for displaced commercial risk; a risk exposure, in Islamic banks and financial institutions (IFIs), whereby the institution attempts...

Displaced Commercial Risk

A risk exposure, in Islamic banks and financial institutions (IFIs), whereby the institution attempts to remain competitive and withstand commercial...

Shortfall Risk

A type of portfolio risk that measures the likelihood that the actual return on the portfolio would drop below a...

CVA Risk

It stands for the risk associated with credit value adjustment; it constitutes part of x-value adjustments (XVA). By definition, it...

CVA Market Risk

A type of risk that affects the valuation of a derivative (specifically, credit-value adjustment or CVA). This risk consists of...

Credit Spread Exposure

A type of credit risk exposure that involves a position in an instrument associated with a specific risk that arises...

Event Risk

The danger (risk) that some unexpected event will take place and increase the credit risk of an issuer, hence badly...

Risk-Off Trading

Trading that involves less risky or riskless securities or secure trading positions. This usually initiates with dumping of risky securities...