Primary navigation:

QFINANCE Quick Links
QFINANCE Topics
QFINANCE Reference
Ask the Financial Experts Add the QFINANCE search widget to your website

Home > QFINANCE Dictionary > Definition of moral hazard

Definition of

moral hazard

Risk

danger through protection from consequences of actions a risk that somebody will behave immorally because insurance, the law, or some other agency protects them against loss that the immoral behavior might otherwise cause

Recommended Further Reading (Term count)
  • A One-in-Fifty-Year Event
    by Leigh Skene
    Leigh Skene is a Canadian who has been involved in financial markets ever since he first purchased equities when he was a teenager. He became involved in debt analysis and trading at the Sun Life Assurance Company of Canada. He moved to the sell side and became Head of Fixed Income Trading at investment bank Burns, Fry and Company (now BMO Nesbitt Burns), then became Chief Economist. In 1980, he left Burns Fry and established himself as an...
  • Forecasting the Credit Crunch and Future Market Prospects
    by Michael J. Panzner
    Michael J. Panzner is a 25-year veteran of the global stock, bond, and currency markets who has worked in New York and London for such leading companies as HSBC, Soros Funds, ABN Amro, Dresdner Bank, and J.P. Morgan Chase. He is the author of When Giants Fall: An Economic Roadmap for the End of the American Era (Wiley, 2009), Financial Armageddon: Protecting Your Future from Four Impending Catastrophes (Kaplan, 2007), and The New Laws of the...
  • The Problem with Derivatives, Quants, and Risk Management Today
    by Paul Wilmott
    Paul Wilmott is a financial consultant, specializing in derivatives, risk management and quantitative finance. He has worked with many leading US and European financial institutions. Paul studied mathematics at St Catherine’s College, Oxford, where he also received his DPhil. He founded the Diploma in Mathematical Finance at Oxford University and the journal Applied Mathematical Finance. He is the author of Paul Wilmott Introduces Quantitative...
  • Securitization: Understanding the Risks and Rewards
    by Tarun Sabarwal
    In broad terms, securitization can be viewed as pooling receivables and selling claims to these receivables in capital markets. For example, a mortgage lender may pool together thousands of mortgages and sell claims on mortgage receivables to investors. Historically, the first securitizations in the 1970s in the United States were those of pools of mortgages. With the success of mortgage-backed securities, other groups of receivables were...

Definitions of ’moral hazard’ and meaning of ’moral hazard’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’moral hazard’ and other financial terms with our online QFINANCE Financial Dictionary.

Back to top

Related

Most Viewed

Recommended

Latest

 
QFINANCE www.qfinance.com