Agriculture is an important sector for employment, food supply and trade exchange in N. Macedonia. It's a climate sensitive sector that strongly rely on weather conditions. Therefore, the agriculture sector needs a risk management model that will cope in a most efficient way with the...

The popular practice of selling market volatility through selling straddles exposes traders and investors to substantial risk, especially in equity markets. The returns can be very lucrative, but the probability of large negative returns far exceeds the probability of large positive returns. In...

The conference provided a comprehensive understanding of current and evolving best practices in identifying, measuring, and modeling operational risk and in managing and mitigating this risk through capital allocation, insurance, and other existing and potential risk management tools. The...

The concept of risk-based capital requirements enjoys widespread support. Effective implementation, however, requires that risk be measured accurately both across borrowers and across time. Under the New Capital Accord, the cornerstone of this risk measurement process is the rating of the...

Proposals to make deposit insurance risk-based need to consider how premiums would fluctuate over the business cycle. This paper derives a new deposit insurance contract that has the following three features: 1) it is fairly priced in the sense that the insurer conveys no subsidy to the bank; 2)...