Foreword; Contents; List of Figures; List of Tables; 1: Introduction; Part I: Risk Management Strategies and Perspectives; 2: A Theoretical Perspective on Risk Management; 2.1 Introduction; 2.2 Why Should a Firm Manage Risks?; 2.2.1 A Point of Departure: Risk Neutral Owner and a Linear Exposure; 2.2.2 Risk Aversion on the Part of the Owner: A Reason to Lower Risk?; 2.2.3 Why Variability Might Lower the Value of the Firm; 2.2.4 Why Variability Could Increase the Value of the Firm; 2.3 Sources of Changes in Profit-Risk and Uncertainty; 2.4 Ways to Manage Risk and Uncertainty

2.4.1 Hedging Risk Due to s with Derivatives and Insurance Contracts2.4.2 Operational Hedging; 2.4.3 Flexibility; 2.4.4 Managing Liquidity and Ensuring Access to New Funds; 2.5 Concluding Remarks; Notes; References; 3: A Practical Perspective on Corporate Risk Management; 3.1 Introduction; 3.2 Risk and Uncertainty; 3.2.1 Decisions Under Conditions of Risk; 3.2.2 Decisions Under Conditions of Uncertainty; 3.3 Challenges in Pricing Corporate Risk; 3.3.1 Different Consumption Preferences; 3.3.2 Choosing the Right Metric; 3.3.3 In Need of Prudence; 3.4 Why Corporations Manage Risk

3.4.1 The View from the Academy3.4.2 Towards a Risk Strategy; References; Part II: Conventional vs Unconventional Transfer; 4: Reinsurance, Insurability and the New Paradigms of Unconventional Risk Transfer; 4.1 Traditional Reinsurance; 4.2 How Conventional Transfer Works; 4.3 Unconventional Transfer and ILSs; 4.4 The Innovation in the "Life Insurance" Sector; 4.5 Insurability of Risks; 4.6 Securitisation; 4.7 ART Attractiveness; 4.8 Asymmetries and Parametric Triggering; 4.9 New Markets for Life Insurance Policies; 4.10 From Viatical to Life Settlement

4.11 Premium Financing and STOLI Policies4.12 More on the Enterprises Perspective; 4.12.1 A Taxonomy of Risks and Actors; 4.12.2 Pure Risk Management and CAT Risks; 4.12.3 Pure Business Risk Financing and Control; 4.12.4 The Risk Management Process, Prevention, Protection, and Resilience; 4.12.5 Cost of Risk for Enterprises; 4.13 More on the Insurers' Perspective; 4.13.1 Subscribed and Subscription Risk; 4.13.2 Exposure Limits; 4.14 The New Paradigms of Unconventional Transfer; 4.14.1 Structured Finance and Insurers; 4.14.2 A Brief Outline of Market Products and the New Way

4.14.3 Risk Warehousing and Intermediation: The Actuarial Versus the Financial View Notes; References; Arrow, K.J. 1970. Insurance, Risk and Resource Allocation. In Essays in the Theory of Risk Bearing, ed. K.J. Arrow. Amsterdam: North Holland.; Suggested Further Readings; 5: Enterprise Risk Management and the Risk Management Process; 5.1 Introduction; 5.2 Preliminary Definitions and Concepts; 5.2.1 What Is Risk?; 5.2.2 What Is Enterprise Risk Management?; 5.2.3 The Risk Management Process; 5.3 Objectives of Risk Management; 5.3.1 How Does Risk Affect Value?