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Chapter 5. Development of Strategic Risk Management. 5-1.What is the purpose of the story about risk in Figure 5-1? 5-2.Do you think a collapse such

Chapter 5. Development of Strategic Risk Management.

5-1.What is the purpose of the story about risk in Figure 5-1?

5-2.Do you think a collapse such as that experienced by Long Term Capital Management could happen again? Explain your reasoning

5-3.What is the best story you can remember about risk management? Why is it so effective?

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