use of my money, but for the risk to remain
without them!… a higher rate of profit, if there is a risk…
5
Разделы презентаций
- Разное
- Английский язык
- Астрономия
- Алгебра
- Биология
- География
- Геометрия
- Детские презентации
- Информатика
- История
- Литература
- Математика
- Медицина
- Менеджмент
- Музыка
- МХК
- Немецкий язык
- ОБЖ
- Обществознание
- Окружающий мир
- Педагогика
- Русский язык
- Технология
- Физика
- Философия
- Химия
- Шаблоны, картинки для презентаций
- Экология
- Экономика
- Юриспруденция
Investors and managers demonstrates risk aversion in different ways 1
Содержание
- 1. Investors and managers demonstrates risk aversion in different ways 1
- 2. People try to avoid risk2
- 3. Why managers invest in risky projects?3
- 4. RISK PREMIUM4
- 5. I want to have a compensation not
- 6. win – 1000$, defeat – 1000$Negative expected
- 7. 7win – 1800$, defeat – 1000$ defeat winRevenueUtility of revenue Risk premium
- 8. Business risk associated with a firm decision about investment8
- 9. 9Business risk is always there - no business does not guarantee success
- 10. Within one business direction, the investor usually
- 11. On the other hand, the "old" company,
- 12. Financial risk is determined by the financial decisions of the firm (the risk of possible insolvency)11
- 13. The income of the company must first of all go to debt service12
- 14. Adjustment of risk14
- 15. Discounted value of future profitDegree of riskValuation
- 16. Methods of risk account :The rate method, corrected for riskMethod of certainty equivalent16
- 17. The rate method, corrected for riskThe rate,
- 18. Method of certainty equivalentThe present value of
- 19. The coefficient of certainty equivalent α is
- 20. And most often for any specific period:20Risk
- 21. East-West Trading Company
- 22. Скачать презентанцию
People try to avoid risk2
Слайды и текст этой презентации
Слайд 5I want to have a compensation not only for the
Слайд 6win – 1000$, defeat – 1000$
Negative expected value => investor
will not bet
6
Utility
Revenue
Utility of revenue
win
defeat
Слайд 10Within one business direction, the investor usually faced with higher
business risk in the newly created company
Слайд 11On the other hand, the "old" company, products or methods
of entrepreneurship which are outdated, can have high enough degree
of business risk10
Слайд 12Financial risk is determined by the financial decisions of the
firm (the risk of possible insolvency)
11
Слайд 15Discounted value of future profit
Degree of risk
Valuation model:
The present value
of the cash flow associated with investments
Estimated profit
The required rate
of profit, taking into account the level of business and financial riskThe number of periods
The amount of initial investment
15
Слайд 16Methods of risk account :
The rate method, corrected for risk
Method
of certainty equivalent
16
Слайд 17The rate method, corrected for risk
The rate, corrected for risk
-the
required rate of profit from prospective investments after due consideration
of the existing risk17
Ех:
Слайд 18Method of certainty equivalent
The present value of the cash flow
associated with investments
The coefficient of certainty equivalent for period t
The
expected cash flow in the period t at riskRisk-free rate of profit or the interest rate for calculating the value of money
The number of periods
The amount of initial investment
Free from the risk equivalent amount of cash in the period t
18
Слайд 19The coefficient of certainty equivalent α is a number between
0 and 1, which reflects the function of risk of
the decision maker.It varies inversely with the degree of risk
(the higher the risk, the lower should be the factor)
α = 1 –the project is risk free
α = 0 – the project is too risky
to expect profit
Free from the risk equivalent amount of cash in the period t
The expected cash flow in the period t at risk
19
Ех:
Слайд 20And most often for any specific period:
20
Risk is anyway evaluated
by one Manager or team of experts
