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    Lecture 1 (1) .14

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    kanye
    Default risk refers to the risk that a party to a financial contract will fail to live up to their obligations and default on payments owed. Specifically, the risk that expected cash flows from a debt will not be received due to the issuer's inability or unwillingness to pay is called default risk. While default risk is important in practice, it will not be covered in depth in this course.

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    Lecture 1 (1) .14

    Uploaded by

    kanye
    7 views1 page
    Default risk refers to the risk that a party to a financial contract will fail to live up to their obligations and default on payments owed. Specifically, the risk that expected cash flows from a debt will not be received due to the issuer's inability or unwillingness to pay is called default risk. While default risk is important in practice, it will not be covered in depth in this course.

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    Lecture 1(1).14

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    Lecture 1(1).14

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    Default risk refers to the risk that a party to a financial contract will fail to live up to their obligations and default on payments owed. Specifically, the risk that expected cash flows from a debt will not be received due to the issuer's inability or unwillingness to pay is called default risk. While default risk is important in practice, it will not be covered in depth in this course.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    7 views1 page

    Lecture 1 (1) .14

    Uploaded by

    kanye
    Default risk refers to the risk that a party to a financial contract will fail to live up to their obligations and default on payments owed. Specifically, the risk that expected cash flows from a debt will not be received due to the issuer's inability or unwillingness to pay is called default risk. While default risk is important in practice, it will not be covered in depth in this course.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    of 1

    Default risk

    That somebody promises to pay you some


    money doesnt necessarily mean they will
    The risk that you will be unable to collect your
    cash flows is called default risk
    This is very important in practice, but we will
    generally ignore it in this course

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