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Risks and Responsibilities

How to manage risk on the stock exchange?


In practice, the concept of risk management when trading on financial market exchanges is based on one of two philosophically different principles:

  • For long-term portfolio investment - on the diversification (distribution) of the portfolio. Already with 15-20 issuers (from various sectors of the economy), the risks associated with a particular issuer are greatly reduced. However, the risk of a fall in the market as a whole remains.
    Installation of the so-called “Stop orders” (“stop orders”, “stop-loss”). With liquid instruments, this approach can very effectively limit the risk of a particular transaction. However, there is a risk of improperly placing a stop order. Therefore, the application of this approach requires a lot of practical experience.


  • For successful trading on the stock exchange, it is critically important to understand the level of risk acceptable to the investor and, when making trading decisions, not exceed this level.


Any financial decision is always inherent in the presence of risk. Risk always accompanies us. Even such a traditionally safe instrument as a bank deposit carries some risk. However, it is precisely in the financial markets that risks are especially vivid and clear.

From a financial point of view, risk is an undesirable change in the price of an asset. More specifically, for the buyer of the asset of the “bull” - this is a drop in price, for the seller without coverage of the “bear” - growth.

In the capital market, in particular in investments, profit directly depends on risks. The higher the risk level, the greater the expected profit and, vice versa, respectively. Overstating the risks in the pursuit of profit, you can lose control of the investment portfolio and receive economic damage. Managing risks, we pursue one of our main principles when working with our partners - the preservation and increase of capital.

Attention! Independent activity in the capital market (stock market), namely trading in securities is fraught with financial risks and is not suitable for all investors. Starting to work in capital markets (stock markets), make sure that you are aware of the risks that trading with capital involves and that you have an adequate level of training.


Financial risks are the risks of potential damage arising from the implementation of financial transactions in connection with the possible adverse effect on them of a number of market factors. The following types of financial risks exist:

Interest rate risk. A change in the refinancing rate of the Central Bank of the Republic of Uzbekistan may have an unforeseen effect on the exchange rate of fixed income bonds, and indirectly on share prices.
Liquidity risk — the risk of financial losses in the sale of securities, associated with the difficulty of selling them at an affordable price, for example, when quickly