Var: Value at risk (VaR) is a measure

Value at risk (VaR) is a measure of the risk of loss of investment/capital. It estimates how much a set of investments might lose (with a given probability), given normal market conditions, in a set time period such as a day. VaR is a risk measure that estimates the maximum potential loss in a portfolio or financial instrument over a given time horizon and confidence level. Learn how VaR is calculated, what assumptions and limitations it has, and how it can be used in portfolio management. Learn how to calculate Value at Risk (VaR) to effectively assess financial risks in portfolios, using historical, variance-covariance, and Monte Carlo methods. The HTML tag is used to define a variable in programming or mathematical expressions.