capital at risk

USAGE SUMMARY

The phrase "capital at risk" is correct and usable in written English.
It is typically used in financial contexts to refer to the amount of money that is exposed to potential loss in an investment or business venture. Example: "Investors should be aware that their capital at risk could lead to significant losses if the market does not perform as expected."

✓ Grammatically correct

News & Media

Science

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

50 human-written examples

"I've put capital at risk.

The New York Times - Magazine

They're putting up $450m but it's not capital at risk; it's really working capital.

The Guardian - Business

Sales of precipice - also known as structured, capital at risk - bonds continue, although at a lower level.

The Guardian - Money

Wider spreads are often found in stocks where market makers put little or no capital at risk.

The New York Times

Indeed, it directly aligns our interests with the sophisticated investors who join us in putting their capital at risk".

The New York Times

It's important to remember that derivatives dealers who are clearinghouse members put significant capital at risk to guarantee clearinghouse obligations.

The New York Times

Yet here he was snapping up big pieces of complex deals, putting his firm's capital at risk.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

4 human-written examples

Using t-copula, we can now calculate the Capital-at-Risk of the bank.

Journal of Industrial Engineering International

Albanese et al. (2016) offer a different reading on KVA, which they define as a cost proportional to the capital-at-risk multiplied by the hurdle rate.

Probability, Uncertainty and Quantitative Risk

This framework could be applied to other Iranian commercial banks for modeling operational risk and for calculating the Capital-at-Risk of the bank.

Journal of Industrial Engineering International

According to the definition of Capital-at-Risk and the confidentiality factor (multiplied by all raw loss data), Capital-at-Risk of Karafarin Bank modeled with t-copula and 99.9% confidence level is equal to (Momen 2008): CaR = 746286286124 ≅ 7.4 × 10 11 IRR Open image in new window c.

Journal of Industrial Engineering International

Expert writing Tips

Best practice

When discussing investment strategies or financial risks, clearly quantify the "capital at risk" to provide stakeholders with a precise understanding of potential losses.

Common error

Avoid using "capital at risk" when referring to working capital. Working capital is for day-to-day operations, whereas "capital at risk" refers to investments with potential losses.

Linguistic Context

The phrase "capital at risk" functions primarily as a noun phrase, often serving as the object of a verb or preposition. Ludwig AI confirms its use in describing investments or financial ventures where there's a possibility of loss. For instance, sentences like "putting capital at risk" or "investor capital at risk" exemplify its role in indicating financial exposure.

Expression frequency: Very common

Frequent in

News & Media

60%

Science

20%

Formal & Business

20%

Less common in

Encyclopedias

0%

Wiki

0%

Reference

0%

Ludwig's WRAP-UP

In summary, "capital at risk" is a prevalent phrase used to denote the potential for financial loss in investments or business ventures. Ludwig AI confirms the term's correctness and usability. Predominantly found in news, scientific, and formal business contexts, it carries a neutral to professional tone. When writing, it is crucial to use this phrase to clearly communicate the possibility of financial exposure and to avoid confusion with terms like working capital. Related phrases like "invested capital" and "funds at stake" can be used as alternatives, depending on the specific nuance you wish to convey.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

invested capital

Focuses on the act of investing, implying the potential for loss.

funds at stake

Emphasizes the potential consequences of loss, implying high importance.

assets exposed

Highlights the vulnerability of assets to potential dangers.

financial exposure

Describes the extent to which an entity is subject to financial loss.

monetary commitment

Focuses on the financial obligation that carries potential risk.

resources jeopardized

Emphasizes the endangerment of resources due to uncertainty.

venture capital at stake

Specifies "venture capital" and highlights the potential risk involved.

equity investment exposed

Highlights the risk associated with equity investments.

speculative funds

Highlights the speculative aspect of the funds, implying higher risk.

high-risk investment

Directly states the high-risk nature of the investment.

FAQs

How can I use "capital at risk" in a sentence?

You can use "capital at risk" to describe the amount of money that could be lost in an investment. For example, "Investors should understand the amount of "capital at risk" before making any decisions."

What is an alternative to saying "capital at risk"?

Alternatives to "capital at risk" include "invested capital", "funds at stake", or "assets exposed". The best choice depends on the specific context.

What does it mean to put "capital at risk"?

Putting "capital at risk" means investing money in a venture where there's a possibility of losing some or all of the invested amount. It's a common term in finance and investment.

Which is more appropriate: "capital at risk" or "capital investment"?

"Capital at risk" emphasizes the potential for loss in an investment. "Capital investment" is a more neutral term that simply refers to the act of investing capital in a project or asset.