Prerequisites BAFN203 Personal Financial Planning TeachingOrganisation 3 hours per week for twelve weeks or equivalent.
This unit provides an understanding of the concepts of risk and considers a structured approach to identifying and managing those risks. It is furthermore concerned with a technical analysis of risk, risk attitudes and insurance as a form of risk management. The focus of this unit includes providing protection against corporate, portfolio and financial risk, which are common to basic and advanced investment decisions. The topics covered include risk insurance with regard to hedging currency exchange rate movements, protection against interest rate movements for a loan portfolio, and share portfolios.