Risk Management Professional must be able to manage risks at portfolio level.
Portfolio risk management differs from project and program risk management in that, in the right circumstances at the portfolio level, the organization may choose to actively embrace appropriate risks in anticipation of high rewards. The managing of risks below the portfolio level is usually thought of as exploiting opportunities and avoiding threats. However, when dealing with complexity at the portfolio level, the simple approach of avoiding threats and exploiting opportunities may not result in a complete balancing of portfolio risks. Portfolio Risk Management aligns portfolio components, organizational strategy, the business model, and environmental factors toward the objective of portfolio value optimization and results in a synchronized portfolio execution across portfolio components.
To learn the Portfolio Risk Management you need:
- Read the Chapter 5. Risk Management in the Context of Portfolio Management, The Standard for Risk Management in Portfolios, Programs, and Projects (p. 41)
- Read the Chapter 8. Portfolio Risk Management in The Standard for Portfolio Management (4th Edition, p. 85)
- Watch the videos:
4. Test your knowledge to complete the study of the task.
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