New answers tagged risk-management
Systematic risk and unsystematic risk 1) when total risk assume to be equal to standard deviation of portfolio Systematic risk= B × standard deviation of market portfolio And unsystematic risk = standard deviation of portfolio - syetamatic risk ( i.e total risk - systamatic risk)
If I were in your place I would always keep my funds in USD till the last moments, USD tends to be overvaluated in Egypt and since Egyptian economy is constantly deteriorating specially after the recent events regarding the russian plane crash and the mexican toursit shooting which could kill the tourism industry and its supporting ecosystem industries like ...
What is wrong with your broker watching your risk for you? I assume the "modest trading house" has portfolio margin in which case you already have limit up/down calculations done for you implicitly. So the output from your broker is your margin equity and you can make that your metric. Implementing a simple rule like - not to exceed 70% of total margin ...
the simple answer is to make an adjustment to the beta of company. let me give you an example say, beta is 1.0 & correlation of the company with market is 0.5 (which is 50% of the movement in the prices is explained by the market and rest is because of some other reason). so, now one thing is clear that if we some how make this correlation equals to 1 ...
It is not a direct answer to your question, but if the real problem is the lack of data, you can check www.datagrapple.com for spreads on the tenors 1, 3, 5, 7 and 10 years for coporate, financial, sovereign CDS and iTraxx / CDX indices.
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