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What different risk management techniques are there in investment banking?

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The investment banking sector relies heavily on risk management, using a variety of techniques to reduce possible risks. These techniques include diversification, value at risk (VaR), stress testing, stop-loss orders, and position limits.

In conclusion, investment banks must employ these techniques to efficiently manage risk, protect client investments, and maximize returns.

If you want to learn about risk management, then don't miss this opportunity to check out the below video -

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