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These questions should be answered using your own words in accordance with your understanding of the textbook (The Essentials of Risk Management, 2nd edition. by Crouhy, M., Galai, D., & Mark, R. McGraw-Hill, 2013) readings. The assignment rubric will be used to evaluate your answers. Answers should generally be one-two paragraphs of information and analysis per question.

Chapters 1 & 2

- What is risk?

- What is the difference between market risk and credit risk?

- What is a risk manager's main job responsibilities? 

- What is systematic risk?

- What are some logical arguments for managing risk?

- What is hedging?

- How did MGRM's risk management strategy go wrong? 

- Why is there a need for performance evaluation?

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