The primary way that market risk affects cost of capital is through its effect on cost of equity. A company’s total cost of capital includes both the funds required to pay interest on debt ...

Participants will leave the course equipped with the practical knowledge to manage trading risk in line with Basel IV standards and effectively adapt to future market shifts.

However, if we account for the ups and downs in a flat market cycle, there’s a very different story to be told. For reference, this risk is often referred to as sequence of returns risk.