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AIG sold so many credit default swaps because they thought risk was overpriced and they wanted to take advantage of it.
The company once thought risk could be dealt with mainly by buying insurance and managing its insurance providers, but during the mid-1990s it started to take a much broader view.
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Such a situation, engineers thought, risked cracking the vessel.
I asked Dr. Messing whether she thought risk-informed bail decisions could save lives where mandatory arrests had failed.
I think risk people are more grounded".
I think "risk" changes with age.
"But many people think risk is only about how volatile your portfolio is.
"I actually don't think risk management failed," said Larry Fink, the boss of BlackRock, an investment firm.
For example, the Japanese, when a stock goes up a lot, think risk has increased.
If you think risk taking is risky, being risk averse is often riskier".
"Think Risks", says one warning, and "Determine Safe Areas".
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com