Value at risk (VAR)

Value at risk (VAR),

Definition of Value at risk (VAR):

  1. Value at risk (VaR) is a statistic that measures and quantifies the level of financial risk within a firm, portfolio or position over a specific time frame. This metric is most commonly used by investment and commercial banks to determine the extent and occurrence ratio of potential losses in their institutional portfolios.

  2. Largest loss likely to be suffered on a portfolio position over a holding period (usually 1 to 10 days) with a given probability (confidence level). VAR is a measure of market risk, and is equal to one standard deviation of the distribution of possible returns on a portfolio of positions.

  3. Risk managers use VaR to measure and control the level of risk exposure. One can apply VaR calculations to specific positions or whole portfolios or to measure firm-wide risk exposure.

How to use Value at risk (VAR) in a sentence?

  1. Value at risk (VaR) is a statistic that measures and quantifies the level of financial risk within a firm, portfolio or position over a specific time frame.
  2. Investment banks commonly apply VaR modeling to firm-wide risk due to the potential for independent trading desks to unintentionally expose the firm to highly correlated assets.
  3. The value at risk was quite large but we had decided to leverage our firm for the unlimited upside potential.
  4. By utilizing a holding company with no actual assets, your value at risk will be negligible; your stress as your portfolio plummets, however, wont be.
  5. You need to understand how to break down the value at risk to see if it really is worth taking a chance on.
  6. This metric is most commonly used by investment and commercial banks to determine the extent and occurrence ratio of potential losses in their institutional portfolios.

Meaning of Value at risk (VAR) & Value at risk (VAR) Definition

Value At Risk (VaR),

How Do You Define Value At Risk (VaR)?

  • Value in risk (VR) is a statistic that measures and measures the level of financial risk in a company, portfolio or position over a specific period of time. This metric is often used by investment banks and commercial banks to determine the relationship between rates and potential loss events in their institutional departments.

    • Value in risk (VR) is a statistic that measures the level of financial risk in a company, portfolio or position over a specific period of time.
    • This metric is most commonly used by commercial banks and investment banks in their institutional departments to determine the relationship between potential loss events and their incidence.
    • Investment banks often use the VR model to put the entire company at risk because free trade agencies can inadvertently expose companies to highly linked assets.

Literal Meanings of Value At Risk (VaR)

Value:

Meanings of Value:
  1. Respect that something should be worthwhile, valuable or useful.

  2. Principles or principles of a person's behavior decide something important in life.

  3. A numerical quantity is called an algebraic term, quantity, quantity or numbers.

  4. Valuing monetary value (something)

Sentences of Value
  1. Your cooperation is invaluable

  2. Fluorescence values ​​are fourth, eighth, and middle notes, and only the basic finger pattern is used in the first course.

  3. In either case, the order references depend on the previous usage and the value of the word.

  4. With the lack of landscape, artists use adjacent colorful values

Synonyms of Value

price, practicality, assay, desirability, benefit, moral principles, cost, usefulness, set a price on, use, assess, code of behaviour, appraise, assistance, rate, profit, moral code, utility, worth its weight in gold, dear, moral standards, ethics, evaluate, favourite, treasured, rules of conduct, worth one's weight in gold, significance, sense

At:

Meanings of At:
  1. Indicate the location or arrival at a particular location or location.

  2. It detects when an event occurred.

  3. Select a specific point or class on the scale.

  4. An expression of certain circumstances or circumstances.

  5. Express objects through appearance, movement, thought, action or planning.

  6. Explain how to do things.

  7. Laos currency unit, equal to one hundredth of a cup.

  8. Amazing chemical element.

Sentences of At
  1. They live in Canway House

  2. The children go to bed at nine o'clock

  3. Prices start at 18,500

  4. Be very discriminating

  5. I checked my watch

  6. Holding prison officers with the tip of a knife

Risk:

Meanings of Risk:
  1. To harm, expose or harm someone or something.

Synonyms of Risk

venture, expose to danger, fear, put at risk, likelihood, hazard, menace, take a chance with, bet, put in jeopardy, endanger, gamble, danger, peril, put on the line, threat, imperil, chance, gamble with, possibility, put in danger, prospect, wager

VaR:

Meanings of VaR:
  1. (In football) Assistant video referee, a system in which officials display videos of major events during a match to inform the referee and correct errors.

  2. Value Added Wrestler, a company that adds additional functionality to the products you sell before you buy them.

  3. Risk value is one way to measure the risk of owning financial assets.