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Risk tolerance: It is something that exists and has certain risks that have been studied in advance and have prepared ways to avoid them
While risk-taking is a new risk-taking
In the world of banking, "taking or assuming a risk" means making deliberate and calculated decisions to engage in activities that may involve some level of uncertainty or potential for losses, like lending money or making investments. Banks do this as part of their everyday operations, but they carefully assess and manage these risks to protect themselves and their customers.
"Running risks" on the other hand, is when a bank is failing to adequately assess, manage, and control the risks associated with its financial activities. This can lead to financial trouble and can be harmful to the bank and its customers.
The best Answer added by: Ashraf E. Mahmoud Univeristy Lecturer & Freelance Instructor / Facilitator / Trainer Depuis 14 jours
Thanks for invitation,
As a banker :
Assuming Risk: means to take all the necessary pre-actions to protect the bank from assumption risk.
Running Risk: Means to handle all side effects of a risk that is already been existed.
