Definition of Risk tolerance

1. Noun. Risk tolerance is a more specific measure of the degree of uncertainty that an investor is willing to accept in respect of negative changes to its business or assets, as opposed to risk appetite being a broad-based level. ''(Generic)'' ¹



2. Noun. The acceptable level of variation relative to the achievement of objectives. In setting specific risk tolerances, management considers the relative importance of related objectives and aligns risk tolerances with its risk appetite. ''(COSO)'' ¹

¹ Source: wiktionary.com

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Lexicographical Neighbors of Risk Tolerance

risk appetite
risk arbitrage
risk benefit
risk capital
risk equalisation
risk factor
risk factors
risk management
risk of exposure
risk of infection
risk of recurrence
risk patient
risk reduction
risk taker
risk tolerance (current term)
risk universe
risk universes
risk visualization
risked
risker
riskers
riskfree
riskful
riskier
riskiest
riskily
riskiness
riskinesses
risking

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