A comprehensive, one-stop resource for corporate finance professionals and graduate students: "Corporate Risk Management: Theories and Applications" examines the motivation for risk management and the measurement of its efficiency—providing theoretical models under information asymmetry that justify risk management, modern empirical analyses of theoretical propositions, and statistical models that identify risks and their variations in different economic cycles.
Focusing on corporate financial aspects of risk management, the book covers over 20 subjects of risk management, particularly default, liquidity, and operational risks that arose during and after the 2008 financial crisis. Examination of Conditional Value at Risk (CVaR) in the measurement of market risk under Basel III illustrates current debates in the field, while detailed investigations of events such as the Enron bankruptcy, the failure of the Long Term Capital Management (LTCM) fund and the 2008 financial crisis exemplify corporate governance failure and its consequences to effective risk management.
From the preface of Denis Kessler, Chairman and Chief Executive Officer of the SCOR Group, Georges Dionne talks about a textbook for students. In fact, Corporate Risk Management: Theories and Applications is not just a manual, it is also a faithful companion for academics wishing to update their knowledge and for all company directors who want the most appropriate instruments to manage both the risks they have decided to take on and those that are imposed on them.
Teachers, researchers, students and decision makers will find in Georges Dionne’s work a presentation of [financial] instruments, their economic consistency and their intrinsic limits that is at once pedagogical and comprehensive. Anyone who is allergic to quantitative techniques need not worry about the mathematical developments contained in the text: the author has stylised and simplified them so well that they are accessible to any enthusiastic reader, while retaining the flavour of mathematic discipline. This is therefore a work to read, to engage with and to keep to hand.