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Seminar paper from the year 2010 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 1,3, Leeds Metropolitan University, course: Risk Management, language: English, abstract: Risk is inevitable within business environments. It is an inherent part of business and public life. Risk covers all aspects of organizational activities, therefore it is included in all management levels. Nowadays, every business faces risks. As competition increases, banks and insurance companies need a fundamental and clear understanding of all the risks they are taking in order to protect every asset of their organisation, such as financial, intellectual and human assets. In an ever changing environment organisations must be prepared to any changes, whether they like it or not, and more importantly, adapt to all those changes that might threaten their business activities. Organisations must be prepared that the uncertainty and the risk of a potential event cannot be eliminated but must be assessed proactively in order to take advantage of it. "Nothing ventured, nothing gained" (Dallas, M.F., 2006, p.37).
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