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Investments glossary

Economic Capital (EC)

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Quotes of the day:

If we want a love message to be heard, it has to be sent out. To keep a lamp burning, we have to keep putting oil in it.

— Mother Teresa

Economic capital is a measure of risk in terms of capital. More specifically, it’s the amount of capital that a company (usually in financial services) needs to ensure that it stays solvent given its risk profile.



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