What is the difference between a financial service and a financial product

What is the difference between a financial risk assessment and a financial risk management Introduction: The Crucial Role of Risk in Finance Hello everyone, and welcome to today's video! In the world of finance, risk is an ever-present factor. Whether it's investing in stocks, managing a company's assets, or making strategic financial decisions, the potential for risk is always looming. That's why understanding the concepts of risk assessment and risk management is vital. While the terms may sound similar, they have distinct meanings and implications. In this video, we'll explore the differences between financial risk assessment and financial risk management, shedding light on their unique roles and significance. Defining Financial Risk Assessment: Evaluating Potential Threats Financial risk assessment is the initial step in the risk management process. It involves identifying, analyzing, and quantifying potential risks that may impact a financial endeavor. These risks can be diverse, ranging from market volatility and credit defaults to natural disasters or regulatory changes. The goal of risk assessment is to gain a comprehensive understanding of the potential threats, their likelihood, and potential impact. This evaluation forms the foundation for devising an effective risk management strategy. The Tools of Financial Risk Assessment: Quantitative and Qualitative Approaches