I was reading the Allianz Risk Barometer for 2025 expected that there would be big changes in the ranking. I was thinking that, as a macroeconomist, there would be an increase in macro developments, political risks and changes in regulation as the top drivers.
I was surprised that cyber incidents and business interruptions were the number one and two most important risks. However, upon closer reflection, many investors and business can hedge or trade around macro risk. They cannot hedge or trade if there is a cyber event. If there is a business disruption, there is not much you can do in the marketplace to solve or to find a profit. Step back and think about what you are doing to protect against these business risks.
No comments:
Post a Comment