RT Journal Article SR Electronic T1 A Perspective on Risk JF The Journal of Investing FD Institutional Investor Journals SP 79 OP 94 DO 10.3905/joi.2013.22.2.079 VO 22 IS 2 A1 Leo Melamed A1 John W. Labuszewski A1 Sandra Ro YR 2013 UL https://pm-research.com/content/22/2/79.abstract AB The past decade has demonstrated convincingly that virtually nobody in today’s economy is immune or insulated from financial risks. The headlines are replete, on a daily basis, with stories regarding the subprime mortgage crisis, the U.S. fiscal situation, the European sovereign debt crisis, and the rising price of raw materials. While these situations have resulted in the well-publicized failure of several significant financial institutions in recent years, the impact often extends down to individual consumers and taxpayers. This article is intended to take a step back and examine the nature of financial risks in the modern world … our “perspective on risk.” Along the way, we will discuss some of the major sources of risk and various measures of such risk, or “risk barometers.”TOPICS: Risk management, portfolio theory, portfolio construction