Risk

Decision making Sample flowchart representing the decision process to add a new article to Wikipedia. Decision-making can be regarded as the cognitive process resulting in the selection of a belief or a course of action among several alternative possibilities. Every decision-making process produces a final choice that may or may not prompt action. Decision-making is the study of identifying and choosing alternatives based on the values and preferences of the decision maker. Decision-making is one of the central activities of management and is a huge part of any process of implementation. Overview[edit] Edit human performance with regard to decisions has been the subject of active research from several perspectives: Decision-making can also be regarded as a problem-solving activity terminated by a solution deemed to be satisfactory. Some have argued that most decisions are made unconsciously. In regards to management and decision-making, each level of management is responsible for different things.

Retirement spend-down At retirement, individuals stop working and no longer get employment earnings, and enter a phase of their lives, where they rely on the assets they have accumulated, to supply money for their spending needs for the rest of their lives. Retirement spend-down, or withdrawal rate,[1][2][3][4][5] is the strategy a retiree follows to spend, decumulate or withdraw assets during retirement. Retirement planning aims to prepare individuals for retirement spend-down, because the different spend-down approaches available to retirees depend on the decisions they make during their working years. Actuaries and financial planners are experts on this topic. Importance[edit] More than 10,000 Post-World War II baby boomers will reach age 65 in the United States every day between 2014 and 2027.[6] This represents the majority of the more than 78 million Americans born between 1946 and 1964. Longevity risk[edit] The probabilities of a 65-year-old living to various ages are:[12] Withdrawal rate[edit] Output

Intuition (philosophy) Intuition is a priori knowledge or experiential belief characterized by its immediacy. Beyond this, the nature of intuition is debated. Roughly speaking, there are two main views. They are: Intuitions are a priori. In the philosophy of Immanuel Kant, intuition is thought of as basic sensory information provided by the cognitive faculty of sensibility (equivalent to what might loosely be called perception). In contemporary analytic philosophy, appeals to our intuitions are an important method for testing claims. The metaphilosophical assumption that philosophy depends on intuitions has recently been challenged by some philosophers. Jump up ^ Immanuel Kant (1787) "Critique of Pure Reason", p35 et seq.

Risk appetite Type of risk an organization is willing to pursue ISO 31000 defines risk appetite as the "amount and type of risk that an organization is willing to pursue or retain. Risk appetite is burdened by inconsistent or ambiguous definitions, but rigorous risk management studies have helped remedy the lack of consensus.[4] This remainder of this section compares the standardized definition of risk appetite with other related terms. Since risk appetite can be stratified into levels of risk, risk threshold can be defined as the upper limit of risk appetite.[5][6] Risk threshold can also be defined as the maximal exposure[7] before risk treatment (i.e, action to reduce risk) is necessary. Risk appetite is often used ambiguously to mean either all of the levels of risk below the threshold, or just the threshold level. Whereas risk appetite is how much risk an organization is willing to take on, risk tolerance is how much risk an organization is capable of taking on. Purpose and benefits [edit]

Awareness Concept[edit] Awareness is a relative concept. An animal may be partially aware, may be subconsciously aware, or may be acutely unaware of an event. Awareness may be focused on an internal state, such as a visceral feeling, or on external events by way of sensory perception. Awareness provides the raw material from which animals develop qualia, or subjective ideas about their experience. Insects have awareness that you are trying to swat them or chase after them. Self-awareness[edit] Main article: Self-awareness Popular ideas about consciousness suggest the phenomenon describes a condition of being aware of one's awareness or, self-awareness.[2] Efforts to describe consciousness in neurological terms have focused on describing networks in the brain that develop awareness of the qualia developed by other networks.[3] Neuroscience[edit] Basic awareness[edit] Basic awareness of one's internal and external world depends on the brain stem. Basic interests[edit] Changes in awareness[edit]

Replicating portfolio In practice, replicating portfolios are seldom, if ever, exact replications. Most significantly, unless they are claims against the same counterparties, there is credit risk. Further, dynamic replication is invariably imperfect, since actual price movements are not infinitesimal – they may in fact be large – and transaction costs to change the hedge are not zero. Derivatives pricing [edit] Dynamic replication is fundamental to the Black–Scholes model of derivatives pricing, which assumes that derivatives can be replicated by portfolios of other securities, and thus their prices determined. In limited cases static replication is sufficient, notably in put–call parity. An important technical detail is how cash is treated. In the valuation of a life insurance company, the actuary considers a series of future uncertain cashflows (including incoming premiums and outgoing claims, for example) and attempts to put a value on these cashflows.

Finding German-Language Pen Pals (2) Finding German-Language Pen PalsPart 2 Of course, in order for any of this to work, you must first find someone with whom you can exchange mail! If you have been to a German-speaking country, you may know someone you can write. But even then, not all of the people you know will have email capabilities or even want to correspond on a regular basis. And if you don't really know anyone to write, what can you do? That's where pen-pal organizations come in. But many other pen-pal and e-pal services are now online offering email contacts. If you want to be listed yourself, so that others can find your email address and write to you, then you can fill out an online form. As with postal mail, once you contact an address there is no guarantee you will get a response. For language-learning purposes, it may be wise to avoid the romance-oriented pen-pal sites. Here's our listing of Online Pen Pal Services for German - Schreibt mal wieder!

Risk aversion Economics theory Risk aversion (red) contrasted to risk neutrality (yellow) and risk loving (orange) in different settings. Left graph: A risk averse utility function is concave (from below), while a risk loving utility function is convex. Middle graph: In standard deviation-expected value space, risk averse indifference curves are upward sloped. In economics and finance, risk aversion is the tendency of people to prefer outcomes with low uncertainty to those outcomes with high uncertainty, even if the average outcome of the latter is equal to or higher in monetary value than the more certain outcome.[1] Risk aversion explains the inclination to agree to a situation with a more predictable, but possibly lower payoff, rather than another situation with a highly unpredictable, but possibly higher payoff. Example[edit] Utility function of a risk-averse (risk-avoiding) individual Utility function of a risk-neutral individual Utility function of a risk-loving (risk-seeking) individual ). . where

Tantra For Tantric Buddhism, see Vajrayana. For the texts classified as Tantras, see Tantras. Tantra[note 1] is the name given by recent scholars to a style of meditation and ritual which arose in India no later than the 5th century AD.[1] Definitions[edit] Several definitions of Tantra exist. Traditional[edit] The Tantric tradition offers various definitions of tantra. Because it elaborates (tan) copious and profound matters, especially relating to the principles of reality (tattva) and sacred mantras, and because it provides liberation (tra), it is called a tantra.[2] A second, very similar to the first, comes from Swami Satyananda. Tantra embodies two sanskrit words: tanoti (expands) and trayoti (liberates)... A tantra is a divinely revealed body of teachings, explaining what is necessary and what is a hindrance in the practice of the worship of God; and also describing the specialized initiation and purification ceremonies that are the necessary prerequisites of Tantric practice.[4] Western[edit]