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"In a trading room the ideal modus operandi can be summed up in one phrase: knowing how to take the maximum risk to gain the bank the maximum money.
His approach, he says, is "minimax" — he wants to minimize the maximum risk — which, in this case, is dying of a cancer.
Officials often mistake slow progress for prudence, he adds—"but the maximum risk of something going wrong occurs once construction is under way, so you should keep that period as short as possible".
"The maximum risk time is going to be the next 60 days when the major economic reports come out and they have some post-crisis data in them," said James W. Paulsen, chief investment strategist at Wells Capital Management in Minneapolis.
The maximum risk is unlimited to the upside beyond the breakeven.
The maximum risk of a long put strategy is limited to the price of the put premium.
Similar(14)
Confidence borders of 2.5% and 97.5% are provided for the minimum risks or the maximum risks, respectively, for the overall population of procedures and some subgroups of subjects and of procedures.
The maximum risks for epidural haematoma were estimated as 1 in 1,700, 1 in 1,400 and 1 in 1,700 for epidural anaesthesia in cardiac, thoracic, and vascular surgery respectively, or 1 in 4,700 if we are content that the risk in these three types of surgery are sufficiently similar to combine them.
The paper mathematically proves that when a population is divided dichotomously into high- and low-risk groups, the maximum absolute risk and incremental risk in the high-risk group depends on or equals the inverse of the proportion of a population that is considered to be high risk.
If 82% of medical inpatients are deemed to be at "high" risk, the maximum incremental risk is no greater than 1/0.82, or 1.22.
The Dempfle and Stute [ 24] estimator provides a flexible nonparametric approach for estimating a cut-off for a continuous risk indicator based on the argument of maximum risk difference between the dichotomized continuous risk indicator X and dichotomous outcome Y.
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