value at risk var nyu
Value at Risk (VaR) is a statistical measure used to quantify the level of financial risk within a firm or investment portfolio over a specific time frame. This analysis, particularly in the context of the framework potentially taught at NYU, helps assess the probability of losses exceeding a certain threshold, providing insights for risk management and investment decision-making. While VaR offers a valuable tool for understanding potential downside, it's important to acknowledge its limitations and consider it in conjunction with other risk assessment methodologies.