Examlex
Explain the concept of accumulative stress and discuss potential sources and impact.
Liquidity Risk
The risk that an entity will not be able to meet its financial obligations as they come due because it cannot convert assets to cash quickly.
Deferred Consumption Risk
The risk associated with postponing consumption today in order to invest, with the potential of not having enough resources in the future.
Liquidity Risk
The risk that an entity will not be able to meet its short-term financial obligations due to the inability to quickly convert assets to cash without significant loss.
Maturity Risk
The risk that the value of a financial instrument will change due to a change in the absolute level of interest rates, sometimes referred to as interest rate risk.
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