Strategic Risk Taking: A Framework for Risk Management

Index

A

abandonment. See option to abandon (real options)

absolute value, 222

acts of God, 334

actuarial tables, 70

adaptive behavior, 232

age, effect on risk aversion, 42, 49

airline industry example (scenario analysis), 148–151

Allais, 38

Amaranth (hedge fund), 47

American options

in Black-Scholes option pricing model, 272–273

European options versus, 264

Amihud, Y., 120, 122

analysis of data, importance of, 377

analyzing risks in risk profiles, 318–319

ancient civilizations

insurance in, 70

measuring risk in, 65–66

Anderson-Darling test, 198

Antikarov, V., 234

Apple, flexibility of, 356

arbitrage pricing model, 84, 95–96, 102

ARCH (autoregressive conditional heteroskedasticity), 209

Arrow-Pratt measure of risk aversion, 36

assessing risk. ...