R. M. Methods and Approaches are (Tools)
Diversification (including Portfolio construction and CapitalAsset Pricing Model) ±Insurance ±Hedging ±Futures and option Markets ±Capital Budgeting.
Risk Measurement encompasses three different strands of academic Research into Risk.
Decision analysts have developed techniques like. ±Decision trees. ±Subjective Probability Distribution. ±Preference CurvesTo aid a Manager Choosing between Risky alternatives.