The different types of Risk Appetite Flashcards

1
Q

What is Expansionary Risk Appetite?

A

Organization is open to taking more risk for a better ROI

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2
Q

What is a Conservative Risk Appetite?

A

Implies that an organization favors less risk even though it means lower returns

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3
Q

What is Neutral Risk Appetite?

A

Signifies a balance between risk and return

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4
Q

What is Risk Appetite?

A

An organizations willingness to take on risks to fulfill its strategic goals

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