Friday, April 20, 2018

Risks Can Only Be Managed, But Cannot Be Eliminated


The violent sell off in the equity markets during the last 2 months reminds us of the importance of risk management. Some traders, investors wanted to eliminate the risks completely.  However, we note that risks cannot be eliminated, only managed.
 
In this video, Anthony Carfang of Treasury Strategies testifies before the U.S. House Committee on Financial Services. The Subcommittee on Capital Markets and Government-Sponsored Enterprises conducted the hearing on February 24, 2016. First five minutes are Carfang's opening statement. That is followed by questions to him from members of the committee.

He stated that risk can only be transferred, but cannot be suppressed.



Similarly, Perry Kaufman made the same statement in this video. This is an interview conducted by Alex Gerchik for his Russian audience.



Click here for more interviews.

ByMarketNews

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