Investment Risk Management
Chapter One
Introduction to Investment Risk
A walk in the investment maze faces millions every day in our global trading community.
There are countless investment opportunities right under our noses. Some are good, others
smell instinctively bad. But, how are we to know if the whiff of the business opportunity is
really "off", or does our nose fail us? The scent of prestige used to be a leading indicator for
investors. Yet, there have been spectacular failures at Andersen, Enron, Global Crossing, Tyco,
Worldcom, Marconi, Equitable Life, Swissair and Sumitomo. These show that the value of a
"big name" firm can be dubious. What have we really bought into?
Management theory, backed up by advanced information technology, would like to come
closer to guaranteeing a sound investment choice. Investment experts bring the risk and return
together. But, the danger is that final selec ... read full excerpt from Investment Risk Management ebook