"Therefore, we make sure we are not overexposed to any one factor and do so by running various statistical models to analyse the outcome of various scenarios.
"Another key area of risk management is liquidity, of which we request from all our managers on a quarterly basis. Three to five years ago, you would never have seen a liquidity chart in a pitch deck, now it is a common slide. We are aware that ‘liquidity is fine until everyone runs for the door’, so we make sure we add a buffer for distressed scenarios.”
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Aamina Zafar is a freelance journalist
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