Title: Financial Risk: What is It and How to Assess It?
What Is Financial Risk?

https://docs.google.com/document/d/1KyTE0ZT8QRfL_ZgP83vGzSBrnTUs3bnxlxCHD6pRwLg/edit?tab=t.0#heading=h.1w2cf5qooyc5

Financial risk isn’t always visible, but it always influences every financial decision. Any time a company allocates funds or takes on a new project, it enters territory where outcomes are no longer guaranteed. In simple terms, it is the chance that reality won’t match your expectations. Important thing: it goes straight to the core of your finances. You might lose part of your assets, face investment returns that fall short, or deal with clients who can’t settle what they owe. Investment risk, in particular, is a major factor. It’s the uncertainty that the money you put in won’t deliver what you hoped for. People who run a local startup or oversee a large enterprise must understand it is key to stay steady if conditions shift and to make choices that support long-term resilience.