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risk management
(redirected from Loss Assumption)

   Also found in: Medical, Financial, Encyclopedia, Wikipedia 0.01 sec.
The process of identifying, assessing, and controlling, risks arising from operational factors and making decisions thatbalance risk cost with mission benefits. Also called RM. See also risk.


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In addition, the negative outlook on most of these BFSRs indicates that there could be downward pressure on these ratings if loss assumptions were to increase significantly above Moody's current expectations or if the banks' risk absorption capacity were to deteriorate beyond Moody's expectations in its base case scenario.
The article states, "Although the default and loss assumptions are already quite high, a worsening outlook will lead to further stress.
Also our delinquency and loss trends are in line with expectations and consistent with our increased loss assumptions which we have been building throughout the year," continued Flanagan.
 
 
 
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