Capital Market, The Value Appraisal Exposed to The Risk in Investment Instruments

Abstract

This article is about the capital market, the value appraisal exposed to the risk in investment instruments. With globalization, the economic volumes of the countries in the world are in constant growth and development. Capital markets are affected more rapidly by these developments. Because of globalization and economic crises, the importance of the capital market has increased considerably. Different methods have been developed because of existing risk management measures are insufficient. The most common of these methods is the Risk Exposed Value. RMD is a method of measuring the highest loss that can occur in a certain period of time. RMD is a method of measuring the highest loss that can occur with a certain probability in a certain period of time. The aim of this study is to compare the results by applying VAR - Covariance Method, Historical Simulation Method and Monte Carlo Simulation Method which are RMD calculation methods and to show which method is a more efficient calculation method.