risk profile

Noun

risk profile (plural risk profiles)

1. (risk management) A detailed description of the risks, or of certain types of risks, associated with something.
   • The evaluation stage consisted of providing a risk profile of the current system (baseline risk) and the evaluation of proposed risk reduction measures .1997, Proceedings: Prevention, Behavior, Control, Cleanup, page 546
   • A typical risk profile includes a brief description of the situation, product or commodity involved; information on pathways by which consumers are exposed to the hazard; possible risks associated with that exposure; consumer perceptions of the risks; and the distribution of possible risks among...2006, FAO Food and Nutrition Paper - Volumes 87-88, page 17
2. The amount of risk that is involved in an investment.
   • The process involves determining the amount of acceptable project risk, the financial capability of the investing organization, and the risk profile of each investment in its portfolio.1992, SME Mining Engineering Handbook, page 99
   • This is because interests on deposits are fixed regardless of the risk profile of the assets they support.1999, Kyung Ho Lee, Securitisation and Its Impact on Banking Business, page 74
3. A chart showing profits and losses associated with an asset.
   • However, in order to deal with risks which may fluctuate over a wide range of losses and a correspondingly wide range of frequencies of occurrence, a preferred method of presentation is the risk profile. As discussed earlier, a risk profile is a graphical display of risk identifying the...1980, An Assessment of the Risk Arising from Electrical Effects Associated with the Release of Carbon Fibers from General Aviation Aircraft Fires, page 9
   • Risk profile curves are used to demonstrate these various risk scenarios.1993, Safety Engineering and Risk Analysis, page 11
4. The amount of riskiness in investments that an individual investor or institution is willing to take.
   • Lending at 5% with a 20-year risk profile is irrational without security backing equal to twice the total loan.1993, Business Review Weekly: BRW. - Volume 15, Issues 1-7, page 106
   • The impulse to achieve high returns for the shareholders must be restrained by the company's risk profile.2003, Ciaran Walsh, Key Management Ratios, page 136