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#riskmanagement #financeterms #collateral #frm #cfa | Jas Virdi, FRM, MBA - Finance, MCom, BMS
In finance, getting a "Haircut" is not about style. It’s about risk management✂️
You might hear a Risk Manager say: "We accepted the bond as collateral, but we gave it a 10% haircut."
Here is the simple explanation of what that means.
Suppose a borrower…
February 20, 2026 1.2K
