Credit Risk – Knowing the Basics

There are plenty of different types of risk in the financial world, from portfolio risk to liquidity risk.  One of the most important to understand risks is known as credit risk.  There are actually several different types of credit risk

Credit Risk Definition

Below please find a definition of “Credit Risk” Credit Risk: The possibility of an investor’s risk of losing money, should a borrower not make payments as agreed upon in a contract, is termed as credit risk. Another term that is