RISK - MANAGEMENT OF INVESTMENT PROJECTS USING QUALIMETRIC ANALYSIS

ASJ. ◽  
2021 ◽  
Vol 1 (46) ◽  
pp. 64-67
Author(s):  
М. Tashbaev ◽  
B. Abdullaeva ◽  
А. Beisenov
Keyword(s):  
Risk Management ◽  
Financial Stability ◽  
Investment Project ◽  
Financial Risks ◽  
Investment Projects ◽  
Depth Analysis

This article discusses an in-depth analysis of the financial risks of investment projects based on the assessment of financial stability indicators, and the determination of the company's solvency class. This analysis allows you to determine whether an enterprise presenting an investment project on the market is capable of paying off its obligations and minimizing the investor's risks

scholarly journals Special aspects of using hybrid financial tools for project risk management in Ukraine

2018 ◽  
Vol 15 (2) ◽  
pp. 257-266 ◽  
Author(s):  
Volodymyr Mishchenko ◽  
Svitlana Naumenkova ◽  
Viktor Ivanov ◽  
Ievgen Tishchenko
Keyword(s):  
Risk Management ◽  
Investment Project ◽  
Financial Risks ◽  
Financial Instruments ◽  
Project Financing ◽  
Currency Options ◽  
Forward Contracts ◽  
Investment Projects ◽  
National Bank ◽  
Management Of Project

The relevance of the article is due to the need of using non-traditional tools for capital raising and hedging financial risks in Ukrainian conditions that allow investors to protect themselves against possible losses during the entire life cycle of the investment project. The study is based on the National Bank of Ukraine statistical data, data of Ukrainian commercial banks, as well as on the authors’ calculations based on empirical and economic-statistical methods. According to international practices, hybrid financial instruments were classified and the special aspects of their use in Ukraine were studied to manage the risks of project financing. Specific features of using the structured bonds for financing investment projects are determined based on the synthetic securitization scheme. The experience of Ukrainian banks was analyzed and the necessity to use financial instruments such as guarantees and letters of credit in risk management of project financing was substantiated. It has been established that forward contracts, currency swaps and over-the-counter currency options are the most acceptable instruments for hedging foreign exchange risks of project financing. Further studies of the problem should include the need for legislative regulation of using hybrid financial instruments, as well as methodological and regulatory support for the risk management of project financing at all stages of the investment project implementation.

Recommendations for risk management of the company’s investment project

2021 ◽  
pp. 44-54
Author(s):  
T.V. Orel ◽  
I. V. Korneeva
Keyword(s):  
Risk Management ◽  
Investment Project ◽  
Investment Projects

Planning investment projects involves the need to study the risks that affect the profitability of projects. Otherwise, such investment projects can lead to significant losses. Therefore, timely identification and management of all risks of an investment project is of particular importance.

Risk Management Model in Surface Exploitation of Mineral Deposits

2016 ◽  
Vol 61 (2) ◽  
pp. 293-308
Author(s):  
Cvjetko Stojanović
Keyword(s):  
Risk Management ◽  
Adverse Events ◽  
Management System ◽  
Mining Industry ◽  
Investment Project ◽  
Management Model ◽  
Structural Element ◽  
Investment Projects ◽  
Risk Management System ◽  
Mining Projects

Abstract Risk management is an integrative part of all types of project management. One of the main tasks of pre-investment studies and other project documentation is the tendency to protect investment projects as much as possible against investment risks. Therefore, the provision and regulation of risk information ensure the identification of the probability of the emergence of adverse events, their forms, causes and consequences, and provides a timely measures of protection against risks. This means that risk management involves a set of management methods and techniques used to reduce the possibility of realizing the adverse events and consequences and thus increase the possibilities of achieving the planned results with minimal losses. Investment in mining projects are of capital importance because they are very complex projects, therefore being very risky, because of the influence of internal and external factors and limitations arising from the socio-economic environment. Due to the lack of a risk management system, numerous organizations worldwide have suffered significant financial losses. Therefore, it is necessary for any organization to establish a risk management system as a structural element of system management system as a whole. This paper presents an approach to a Risk management model in the project of opening a surface coal mine, developed based on studies of extensive scientific literature and personal experiences of the author, and which, with certain modifications, may find use for any investment project, both in the mining industry as well as in investment projects in other areas.

scholarly journals FINANCIAL RISK MANAGEMENT OF AN INDUSTRIAL ENTERPRISE

2020 ◽  
pp. 97-103
Author(s):  
T. Vasilyeva ◽  
N. Antoniuk
Keyword(s):  
Risk Management ◽  
Financial Stability ◽  
Web Application ◽  
Financial Risk ◽  
Industrial Enterprise ◽  
Financial Risks ◽  
Financial Risk Management ◽  
Industrial Enterprises ◽  
Methodical Approach ◽  
Constituent Elements

The article is devoted to the issue of financial risk management of industrial enterprises, which is relevant in the modern realities of the Ukrainian economy. The Google Trends web application analyzes the popularity of search queries in business and industry for phrases such as "financial risk" and "financial risk management" in Ukraine and in the world as a whole over the past 12 months. Based on official statistics, the analysis of the dynamics of the main financial indicators of industrial enterprises of Sumy region for 5 years, namely financial results before tax, financial results from operating activities and operating profitability. Based on the coefficient of variation, the level of financial risk that accompanies the activities of industrial enterprises of Sumy region is determined. The essence of financial risks of an industrial enterprise is revealed and its constituent elements are presented. The main existing approaches to the quantitative assessment of financial risks are presented, which are mainly based on probabilistic assessment. A methodical approach to financial risk management of industrial enterprises is proposed, which provides for constant monitoring of deviations of the integrated indicator, calculated on the basis of financial statements of the enterprise and includes indicators of liquidity, financial stability, profitability, cash flow from financial activities. At the same time, the company is recommended to set clear boundaries of possible deviations of the integrated financial indicator. Emphasis is also placed on the need to form and implement an integrated financial risk management system at industrial enterprises of Ukraine in the modern economic realities of Ukraine. A clear system of financial risk management will allow industrial enterprises to respond in a timely manner to potential threats, neutralize financial risks and avoid possible losses.

scholarly journals Current Issues in Assessment of Risks Related to Investment Projects

2018 ◽  
Vol 7 (3.15) ◽  
pp. 336 ◽  
Author(s):  
Alexander Sergeevich Voronov ◽  
Mikhail Vladimirovich Karmanov ◽  
Irina Anatolievna Kiseleva ◽  
Vladimir Ivanovich Kuznetsov ◽  
Lidia Sergeevna Leontieva
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Investment Project ◽  
Investment Projects ◽  
Project Valuation ◽  
Analysis Methods ◽  
Project Risks ◽  
Capm Model ◽  
Definition Of

The definition of the essence of an object of management in economics is an indispensable component of professional risk management. Since the national risk management theory is just being formed, the need to find a clear and comprehensive definition for the notion "risks" is especially topical. Capital valuation is one of the most important issues, which needs to be solved by companies during ROI studies. This article makes an attempt to study the role of risk management in the implementation of investment projects. The main purpose of this article is to identify the main regularities which determine the peculiarities of risk assessment in business, being the key element facilitating the organization of investment projects. The objectives have been as follows: to review the basic concepts of risk management; to study its components in business; to reflect the system and risk management principles, and to carry out risk assessment; to consider the main kinds of risks in the business area.The article describes various types of investment and project risks, risk analysis methods for investment projects, as well as efficiency indicators of investment projects, and provides an analysis of risk factors and uncertainties during the development of investment projects. The peculiarities of the practical use of project risks’ analysis methods have been studied. Risk assessment methods for an investment project help evaluate its feasibility, the time within which it will start being profitable, as well as the probabilistic volume of its future profits. Investment project valuation models have been analyzed, in particular, the CAPM model for emerging capital markets. The DCF method has been studied, being the base for assessing the attractiveness of business in general and a company's investment project in particular.  

scholarly journals Empirical Analysis of Financial and Non-Financial Risks of the Commercial Bank

2019 ◽  
Vol 8 (2) ◽  
pp. 101 ◽  
Author(s):  
Asie Tsintsadze ◽  
Vladimer Glonti ◽  
Lela Oniani ◽  
Tamar Ghoghoberidze
Keyword(s):  
Risk Management ◽  
Credit Risk ◽  
Operational Risk ◽  
Financial Risks ◽  
Operational Risks ◽  
Increase Risk ◽  
Method Approach ◽  
Selection Of ◽  
Regressive Analysis

Background: Activities of commercial banks are connected with numerous risks, the source of which is the internal and external processes of the bank. Objectives: Risk management science has been studying the origins of the risks, determining their impact quality and avoiding expected loss models from the 1950s. Method/Approach: Credit risk regressive analysis is based on the selection of effective factors, determination of their influence and prediction of future according to the correlation coefficient. Results/Findings: In the article, it is discussed the regressive analysis of operational risk. Conclusion: The effect of credit and operational risks on the financial results of the Bank is based on the results obtained and recommendations have been developed to increase risk management efficiency. Keywords: credit risk, operational risk, regressive analysis, risk management, forecasting.

scholarly journals Ordered Fuzzy Numbers Approach to an Investment Project Evaluation

2013 ◽  
Vol 4 (2) ◽  
pp. 50-62 ◽  
Author(s):  
W. Konrad Kosiński ◽  
Witold Kosiński ◽  
Kacper Kościeński
Keyword(s):  
Net Present Value ◽  
Fuzzy Numbers ◽  
Probabilistic Approach ◽  
Investment Project ◽  
Order Relation ◽  
Project Evaluation ◽  
Investment Projects ◽  
Decision Supporting ◽  
Decision Supporting System

Abstract Aim of the paper is to propose a new tool for a decision supporting system concerning the financial project evaluation. It is based on the determination of the internal rate of return (IRR) of a investment project in which all expenditure and anticipated incomes are vague, and described by Ordered Fuzzy Numbers (OFNs). It means that the probabilistic approach is neglected in this paper and the use of the well developed arithmetics of OFNs is made to find a positive fuzzy root of a fuzzy polynomial representing the fuzzy net present value of the project. Since in the space of OFNs a partial order relation is defined together with a number of defuzzification functionals, the authors can construct a decision support system for investors helping them in acceptance procedure of most profitable investment projects.

IMPROVING THE RISK MANAGEMENT SYSTEM IN THE ACTIVITIES OF OPERATORS INVESTMENT PLATFORMS

2021 ◽  
Vol 1 (8) ◽  
pp. 115-120
Author(s):  
V. V. ZEMSKOV ◽  
◽  
E. A. TIMOFEEV ◽  
Keyword(s):  
Risk Management ◽  
Statistical Methods ◽  
Management System ◽  
Financial Stability ◽  
Financial Risks ◽  
General Management ◽  
Risk Management System

The purpose of the work is to analyze and develop a risk management system in the activities of investment platform operators to improve the financial stability of contracts. The assessment of financial risks of persons attracting investments of the operator of the investment platform is based on the methods of analogies, financial coefficients, expert and statistical methods. According to the authors, it is necessary to form a risk management system integrated into the general management system to protect the interests of both users of the investment platform and their own. The results can be applied in the formation of a risk management system for investment platform operators.

scholarly journals Alternative approach to analysis of risks affecting the efficiency of implementing the investment project in the conditions of global instability of economic space

2020 ◽  
Vol 74 ◽  
pp. 06009
Author(s):  
Liana M. Chechenova ◽  
Natalia V. Volykhina ◽  
Yuriy V. Egorov
Keyword(s):  
Risk Management ◽  
Risk Analysis ◽  
Investment Project ◽  
Management Decision ◽  
Global Instability ◽  
Random Factor ◽  
Economic Space ◽  
Investment Projects ◽  
Expert Assessments

This article is devoted to the study of improving the use of expert assessments for risk analysis, affecting the effectiveness of the implementation of a comprehensive investment project in the global instability of the economic space. The existing methods of expert assessments and Monte-Carlo simulation methods used to identify and assess the risks of investment projects are described. A systematic analysis of the main risks of investment projects in the context of globalization and risk management methods was carried out. The author’s classification of risks of investment projects using the criteria of economic efficiency has been developed. An approach to risk analysis, affecting the effectiveness of the implementation of complex investment projects based on existing methods using the concept of the “reduced” random factor, is proposed. This approach is used to analyse project implementation risks in the conditions of market instability with the development of recommendations for managing the main project risks. The author’s risk classification of investment projects is important at the stage of analysing risks arising from the study of sales markets, as well as during the management decision-making process, which minimizes the possible adverse impact on an organization, including losses caused by random events. The proposed approach can be applied to the analysis, express-analysis and risk management of long-term complex investment projects in the conditions of global instability of the economic space.

scholarly journals Planning, Accounting and Control as Risk Management Tools for Small Business Investment Projects

2021 ◽  
Vol 5 (5) ◽  
pp. 650-666
Author(s):  
Svitlana Bondarenko ◽  
Natalya Shlafman ◽  
Nataliia Kuprina ◽  
Olga Kalaman ◽  
Olena Moravska ◽  
...  
Keyword(s):  
Risk Management ◽  
Early Warning ◽  
Small Businesses ◽  
Negative Impact ◽  
Warning System ◽  
Investment Project ◽  
Investment Projects ◽  
Management Actions ◽  
Methodological Approaches ◽  
And Control

The purpose of this study is to develop scientifically sound proposals and recommendations for the implementation of planning, accounting and control tools in risk management of investment projects of small businesses. The relevance of this study is due to the need to provide small businesses with effective methods of risk management of the investment project, which can significantly reduce the negative impact of risk factors and achieve a significant effect from the investment. To achieve the goal of the study, methodological approaches were used to assess the risk sustainability of the enterprise, based on the assessment of the resource potential of the enterprise. A system of indicators is proposed to assess the quality of enterprise resources. Theoretical and methodological approaches to the formation of an early warning system in risk management have been developed. The proposed concept of indicative management includes tools for indicative control of investment projects in relation to the risk sustainability of the enterprise from the standpoint of its resource provision. Risks in this case become key indicators to which management actions should be directed. The introduction of a risk passport is proposed as a tool for early warning of crisis phenomena in small enterprises. The authors proved that the risk prevention system should be integrated into the overall organizational structure and become part of the enterprise management system. Indicative management is proposed as a tool for implementing functional strategies to prevent or eliminate threats and maximize their strengths and capabilities. Doi: 10.28991/esj-2021-01302 Full Text: PDF

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