ERM Glossary: Credit risk
[this page | pdf | references | back links]
Credit risk is the risk that a counterparty to an agreement
will be unwilling or unable to make the payments required under that agreement.
More loosely, it can refer to the risk that the (market) value of a
credit-sensitive asset or liability (e.g. a corporate bond) can change due to
factors other than risk-free interest rate changes.
NAVIGATION LINKS
Contents | Prev | Next