1. There are many reasons why risk management increase shareholder wealth. Which of the following risk management policies is least to increase shareholder wealth? A.hedging strategies to lower the probability of financial distress and bankruptcy B.Risk management policies designed to reduce the probability of debt overhang. C.Well-designed compensation structure for managers that sets incentives for managers to take appropriate risks D.Risk management policies designed to eliminate projects with high volatility. 1. There are many reasons why risk management increase shareholder wealth. Which of the following risk management policies is least to increase shareholder wealth? A.hedging strategies to lower the probability of financial distress and bankruptcy B.Risk management policies designed to reduce the probability of debt overhang. C.Well-designed compensation structure for managers that sets incentives for managers to take appropriate risks D.Risk management policies designed to eliminate projects with high volatility