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This authoritative volume charts the origins, development, and current frontiers of financial risk management. It emphasizes the role for risk management created by realworld market imperfections, and progresses to consider stochastic financial modeling, the failure of normality, and timevarying volatility. Professor Diebold has selected seminal papers by leading academics which cover multiple markets (equities, bonds, etc.), univariate and multivariate perspectives, connectedness and systemic risks, and stress testing. The collection, along with an original introduction by the editor, will be of interest to academics, market participants, and policymakers, particularly as we chart a new course following the financial crisis of 20072008.
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