Risk Quotes

I'll not even try to give a definition of 'Risk Management'.
More than the word Risk, Risk Management is full of traps and paradoxes.

Just to mention some.....

Risk Management is...

• not primarily about risk that can be calculated with a 99,x% confidence level
• dealing with Risks you know will come, but can't be calculated
• more about correlation in time than mean estimates and standard deviation
• more about prevention, foreseeing and managing risk than capitalisation of risk
• more about taking risks to benefit, than trying to exclude risks
• fighting risk instead of excluding risk
• making Plans B and C, in case your confidence level fails

Avoiding Risk

One of the trickiest parts of Risk Management is that we often  are trying to avoid Risk at any price.

By doing so, we introduce a new risk: It gets harder to achieve shareholder and client value.

Often returns will decline because of over-capitalisation and a risk-return unbalance.

Finally we have to compete in new risk areas we're not experienced in. 

It's all well expressed in a cartoon on cartoonstock:

'We've considered every potential risk, except the risks of avoiding all risks.'


Personally I prefer the challenging Risk Management quote of Jos Berkemeijer, that states:

 "Risk Management: the art of foreseeing hindsight."

Better than trying to define Risk or Risk Management, it is to study and get inspired by Risk Quotes.

Therefore I conclude this Blog with a link to the Blog 'Risk Quotes'

You can place a random quote like this one:

Random Risk Quote

on your website or Blog by copying the next javascript code.

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1. Copy above JavaScript code (select;CTRL-C).
2. Paste (CTRL-V) the code on your webpage or Blog
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Related Links
- Risk Quotes
- Riskviews: quotes
- Best Risk Management Quotes
- Death of Risk Management

Actuary beats Chimp (or not?)

Is your joy for stats just as big as Hans Rosling's enthusiasm shows?

Just watch how Hans tells the developing story of Lifespan against Income in more than 200 years, showing around 200 countries in a 120.000 numbers flowing chart!



It's clear, we actuaries can learn from Hans with his (1) 'sticky enthusiasm' and (2) 'keeping the issue on headlines'.....


You can play for your own with the data Hans uses on Gapminder World

No doubt..., your next board presentation will be dynamic and flowing.

To conclude... If you as an actuary think you know more about the actuarial world than a chimp, please take Hans Rosling's

Beat the Chimp test

on facebook.


Let's hope for the 'best'.....

Related links:
- Gapminder World

Fun: Actuarial Dasboard Crash

Last week I gave a Risk Management training about pension funds. After illustrating several times the importance of adequate risk management dashboards, one of the attendees suddenly stated:

'No matter how impressive your dashboard, you should keep your eyes on the road!'........

Right he was! A driver  who's constantly focused on his dashboard will sooner or later end up in the bush and finally crash.

We, actuaries and risk managers all trust on our dashboards, but at the same time we should keep our eyes open to anticipate on coming events in a changing marketplace.

Sometimes it's even better to just leave the road, as the next video shows...


Police Risk management

David | Myspace Video

Anyhow, keep your eyes open, to prevent an Actuarial Dashboard Crash.....

Related Links:
- Alfa Romeo Spider Veloce: Don’t Let Dashboards Drive You Crazy