FIN 512 Lecture Notes - Lecture 1: Unemployment Benefits, Life Insurance, Standard Deviation
7 Nov 2014
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Chapter 1 risk, risk management, and insurance. The insurance industry holds 7. 5% of the assets of the 22 industries in canada while having some 14% of the operating profit margin. Exogenous and endogenous risks: exogenous risks are risks over which we have no control and which are not affected by our actions example: earthquakes or hurricanes, endogenous risks are risks that are dependent on our actions. Direct loss is the damage to or loss of property. If other customers cannot provide enough business to justify your loan, your bank might decide to lower your allowance loan balance and might even call in the loan. If it strikes a generating station and knocks out power to many homes, it is known as a particular risk to the power. Company but fundamental risk for individuals who experience inconvenience. Cfin512 risk management and insurance: social insurance is insurance required by governments, and employees, employers, or both contribute to the fund.
