‭Risk management‬ ‭ elow‬‭Risk management means quantifying and controlling‬‭risks.‬‭In the literature a‬ b ‭large number of options are given for classifying risks. In this chapter the‬ ‭c lassification is used as introduced by the Group of Thirty (G30). In this‬ ‭c lassification are the following risks related to distinguish between financial‬ ‭transactions:‬ ‭-‬ ‭The risk that a negative result is achieved due to changing market conditions‬ ‭(market risks);‬ ‭-‬ ‭The risk that the counterparty does not meet its obligations (‬‭counterparty risks)‬‭;‬ ‭-‬ ‭Risks such as feelings lg of gaps in the internal organization (‬‭operational risks‬‭);‬ ‭-‬ ‭Risks arising from the use of bad contracts (‬‭legal‬‭risks)‬‭.‬ ‭Overview of risks:‬ ‭-Market risks‬ ‭-‬ ‭-Currency risks‬ ‭Translation‬ ‭risk‬ ‭(consolidated‬ ‭annual accounts)‬ ‭-‬ ‭-Interest rate risks‬ ‭ ransaction‬ T ‭risk‬ -‭ ‬ ‭Economi‬ ‭c risk (general‬ ‭risk)‬ ‭-‬ ‭Liquidity‬ ‭risk‬ ‭-‬ ‭Investment‬ ‭and‬ ‭financing risks‬ ‭-Marketability risk‬ ‭-Counterparty risks‬ -‭ ‬ D ‭ ebtor risk‬ ‭-‬ ‭Settlement risk‬ ‭-Bankruptcy risk‬ ‭-Operational risks‬ ‭-‬ ‭Inadequate‬ ‭ dministrative‬ a ‭information provision‬ ‭(organization information‬ ‭systems and internal‬ ‭control respectively)‬ ‭-Legal risks‬ -‭ ‬ I‭nadequate systems‬ ‭-‬ ‭Inadequate internal‬ ‭c heck‬ ‭-Inadequate contracts‬ ‭ eans for coveringking financial risks‬ M ‭The analysis of the various risks can lead to measures of an internal and external‬ ‭nature. Two types of resources can be distinguished. Measures of an internal‬ ‭nature refer to means relating to the establishment and maintenance of an adequate‬ ‭system of internal control, as well as to the company's logistics or sales policy. For‬ ‭example, it may be decided to pay the supplier a large part of the total purchases in‬ ‭the same currency that the company uses in invoicing its products or services‬ ‭(‬‭internal hedging‬‭). With measures of an external nature‬‭(‬‭external‬ ‭hedging)‬‭measures are intended as taking positions‬‭on financial markets. This can‬ ‭happen with financial products that appear on the company's balance sheet. This‬ ‭includes taking out loans or holding loans deposits in foreign currencies.‬