The Palgrave Handbook of Unconventional Risk Transfer

Foreword -- Contents -- List of Figures -- List of Tables -- 1: Introduction -- Part I: Risk Management Strategies and Perspectives -- 2: A Theoretical Perspective on Risk Management -- 2.1 Introduction -- 2.2 Why Should a Firm Manage Risks? -- 2.2.1 A Point of Departure: Risk Neutral Owner and a Linear Exposure -- 2.2.2 Risk Aversion on the Part of the Owner: A Reason to Lower Risk? -- 2.2.3 Why Variability Might Lower the Value of the Firm -- 2.2.4 Why Variability Could Increase the Value of the Firm -- 2.3 Sources of Changes in Profit-Risk and Uncertainty -- 2.4 Ways to Manage Risk and Uncertainty -- 2.4.1 Hedging Risk Due to s with Derivatives and Insurance Contracts -- 2.4.2 Operational Hedging -- 2.4.3 Flexibility -- 2.4.4 Managing Liquidity and Ensuring Access to New Funds -- 2.5 Concluding Remarks -- Notes -- References -- 3: A Practical Perspective on Corporate Risk Management -- 3.1 Introduction -- 3.2 Risk and Uncertainty -- 3.2.1 Decisions Under Conditions of Risk -- 3.2.2 Decisions Under Conditions of Uncertainty -- 3.3 Challenges in Pricing Corporate Risk -- 3.3.1 Different Consumption Preferences -- 3.3.2 Choosing the Right Metric -- 3.3.3 In Need of Prudence -- 3.4 Why Corporations Manage Risk -- 3.4.1 The View from the Academy -- 3.4.2 Towards a Risk Strategy -- References -- Part II: Conventional vs Unconventional Transfer -- 4: Reinsurance, Insurability and the New Paradigms of Unconventional Risk Transfer -- 4.1 Traditional Reinsurance -- 4.2 How Conventional Transfer Works -- 4.3 Unconventional Transfer and ILSs -- 4.4 The Innovation in the "Life Insurance" Sector -- 4.5 Insurability of Risks -- 4.6 Securitisation -- 4.7 ART Attractiveness -- 4.8 Asymmetries and Parametric Triggering -- 4.9 New Markets for Life Insurance Policies -- 4.10 From Viatical to Life Settlement