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Insurance

Risk retention

Risk management involves making strategic decisions on how to handle risk. One approach is to bear the consequences of risk, rather than trying to avoid or transfer it. This requires a deep understanding of risk and its potential impact on financial stability. By bearing risk, individuals and companies take on the responsibility of managing and mitigating potential losses. This method requires a certain level of confidence and knowledge in navigating the unpredictable nature of risk. Ultimately, embracing risk can lead to greater rewards and success in the world of finance.
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