Economic capital / Other risks [33]

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Bullet points include: Business performance often quantified by accounting results Accounting risk may be viewed as the risk that there is an adverse accounting outcome (even if not an adverse underlying development) Distinction depends in part on how effective relevant accounting framework is at measuring underlying economic position Bear in mind the risk that these frameworks may change Hedging ‘artificial’ balance sheet features may prove redundant, or worse, counterproductive some time later

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