Financial Risk Management

Lecture 7 of APM466/MAT1856 at the University of Toronto 2026. We describe the history and framework of financial risk management, starting with BIS-I and the RiskMathics methodology of 1994, with its Value-at-Risk, ending with a discussion of sustainable finance in the context of a possible birth of new capital markets, with a genesis which is similar to the one that gave rise to derivative markets in the 1980. Video provided to students at the University of Toronto. Allowance is made for fair use for purposes such as criticism, comment, news reporting, scholarship, and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favour of fair use. Content is provided as a whole, any reproduction in part could be misleading and is not allowed.