gross exposure

USAGE SUMMARY

"gross exposure" is correct and usable in written English. You can use it in financial contexts to refer to the total amount of risk or investment before any offsets. For example, "The fund's gross exposure to equities has increased significantly this quarter." Alternative expressions include "total exposure" and "overall exposure."

✓ Grammatically correct

News & Media

Formal & Business

Science

Human-verified examples from authoritative sources

Exact Expressions

21 human-written examples

The less conservative figure, the gross exposure, is $78.7 billion for Greece, according to Markit.

The New York Times

In addition, it has about $14.4 billion of gross exposure to France and Belgium.

The New York Times

By that September, given the decline in the value of those instruments, Goldman's gross exposure was $10 billion.

The New York Times

The bank has about $20 billion in gross exposure to the peripheral countries, like Greece, Ireland, Italy, Portugal and Spain.

The New York Times

Gross exposure has grown from $435 billion to $544 billion.Any cracks in the confidence that AIG knows what it is doing in derivatives would be highly damaging.

The Economist

The gross exposure of the five most financially pressed European Union countries — Portugal, Italy, Ireland, Greece and Spain — is about $616 billion.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

39 human-written examples

No one seems to have a good handle on either gross exposures or net exposures to anything that is classified as a "credit event".

The New York Times

"If you do see a jump in gross exposures, there will be new questions for management," said Mike Mayo, a bank analyst with brokerage CLSA.

The New York Times

It has been assumed that among the general population, with no known gross exposures to insecticides, much of the DDT stored in fat deposits has entered the body in food.

The New Yorker

That means looking at off-balance-sheet assets and at gross exposures (Jérôme Kerviel, accused of losing Société Générale $7.2 billion, went unnoticed because managers were watching only his net positions).

The Economist

Greece-related developments have narrowed the range of credible risk-hedging instruments, encouraging banks and hedge funds to reduce gross exposures and not just net exposures.

Huffington Post

Expert writing Tips

Best practice

When reporting "gross exposure", clarify whether the figure includes potential future drawdowns or only current outstanding amounts for better transparency.

Common error

Avoid using "gross exposure" interchangeably with "net exposure". "Gross exposure" refers to the total exposure without considering hedges or offsets, while "net exposure" accounts for these risk-reducing measures. Always specify which measure you are reporting.

Linguistic Context

The phrase "gross exposure" functions as a noun phrase that is typically used as an adjective to describe the extent of risk or investment a company or institution faces before any offsetting factors are considered. Ludwig AI indicates the phrase is grammatically correct and frequently used.

Expression frequency: Common

Frequent in

News & Media

52%

Formal & Business

21%

Science

27%

Less common in

Academia

0%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, "gross exposure" is a grammatically sound and relatively common phrase, primarily used in financial and business contexts to denote the total, unadjusted risk or investment amount. Ludwig AI confirms its correctness and usability. While alternatives like "total exposure" exist, "gross exposure" provides a specific emphasis on the pre-offset magnitude. When using this phrase, it's essential to differentiate it from "net exposure" and to provide context regarding potential drawdowns for enhanced clarity. Top sources like The New York Times and The Economist frequently employ the phrase, underscoring its relevance in financial reporting and analysis.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

total exposure

Emphasizes the comprehensive nature of the exposure, similar to "gross exposure" but without the specific financial connotation.

absolute exposure

Similar to "gross exposure", indicating the complete and unadjusted level of exposure.

full risk exposure

Highlights both the completeness and the inherent risk associated with the exposure.

overall risk

Focuses on the risk aspect of the exposure, highlighting the potential for loss or negative impact.

aggregate risk

Stresses the combined or cumulative nature of the risk, implying a summation of individual exposures.

raw exposure

Implies that the exposure is in its original, unprocessed state, without any modifications or adjustments.

total investment

Highlights the investment aspect of the exposure, emphasizing the total capital at stake.

total financial commitment

Emphasizes the complete financial obligation or investment, representing the full extent of involvement.

unhedged exposure

Specifically refers to the portion of exposure that has not been protected by hedging strategies.

combined liabilities

Focuses on the liabilities aspect of financial commitments, representing total obligations.

FAQs

How is "gross exposure" calculated?

"Gross exposure" is calculated by summing all individual exposures without considering any offsetting positions, hedges, or collateral. It represents the total potential risk or investment amount before any risk mitigation strategies are applied.

What's the difference between "gross exposure" and "net exposure"?

"Gross exposure" represents the total potential risk without accounting for any risk-reducing measures, while "net exposure" factors in hedges and offsets to show the actual risk remaining. The "net exposure" is often lower than the gross exposure.

When should I use "gross exposure" versus "net exposure" in a financial report?

Use "gross exposure" to illustrate the full potential scale of risk or investment. Use "net exposure" to reflect the actual risk assumed after accounting for risk management strategies. Providing both gives a more comprehensive view.

What are some alternatives to the phrase "gross exposure"?

Depending on the context, you can use alternatives such as "total exposure", "overall risk", or "absolute exposure". However, "gross exposure" is the most precise term in many financial contexts.