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Model risk

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Model risk
Risk of loss arising from valuing financial instruments with a model that is inaccurate (e.g. makes incorrect underlying assumptions, does not capture all scenarios that could occur in reality, or fails under extreme market conditions). Also known as model uncertainty.


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This flexibility enables users to manage their Model Risk, a key advantage in today's markets.
This flexibility enables users to manage their Model Risk, a key advantage in today's markets.
derivatives markets, model risk, risk management, swaps and other financial innovations.
 
 
 
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