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10 strategies and tactics for Risk Management

What is Risk Management strategy?

Team success often hinges on the ability to develop and implement effective strategies and tactics. It's a bit like playing chess, except that you have more than 1 player on each side.

Finding the right Risk Management strategy can seem daunting, particularly when you're focused on your daily workload. For this reason, we've compiled a selection of examples to fuel your inspiration.

Copy these examples into your preferred app, or you can also use Tability to keep yourself accountable.

How to write your own Risk Management strategy with AI

While we have some examples available, it's likely that you'll have specific scenarios that aren't covered here. You can use our free AI generator below or our more complete goal-setting system to generate your own strategies.

Risk Management strategy examples

You will find in the next section many different Risk Management tactics. We've included action items in our templates to make it as actionable as possible.

Strategies and tactics for developing a trading strategy with limited consecutive losses

  • ⛳️ Strategy 1: Set loss limits and triggers

    • Determine the maximum acceptable loss per trade
    • Use stop-loss orders to automatically exit losing trades
    • Implement a maximum daily loss threshold
    • Utilise trailing stops to protect profits and limit losses
    • Reevaluate your position sizing strategy regularly
    • Adjust trading strategies after each consecutive loss
    • Pause trading for a defined period after 3 consecutive losses
    • Analyse each loss to identify potential improvements
    • Backtest strategies with historical data and simulate loss scenarios
    • Review and update loss thresholds quarterly

  • ⛳️ Strategy 2: Diversify portfolio risk

    • Identify and trade multiple asset classes
    • Use risk management tools like hedging
    • Avoid overexposure to any single asset or market
    • Allocate a specific portion of capital to each strategy
    • Implement correlation analysis to manage risk
    • Use a combination of technical and fundamental analysis to inform trades
    • Schedule regular portfolio reviews to adjust allocations
    • Utilise diversified trading strategies across different market conditions
    • Set clear risk-reward ratios for each trade
    • Engage in continuous education about new trading instruments

  • ⛳️ Strategy 3: Improve decision-making and psychological resilience

    • Establish a trading plan with set rules and guidelines
    • Practice disciplined trading according to your plan
    • Develop a routine for pre-trade analysis and mental preparation
    • Utilise trading journals to reflect on every trade
    • Set performance benchmarks to track progress
    • Participate in simulations to improve decision-making skills
    • Seek feedback from a trading mentor or peer group
    • Incorporate stress management techniques into your routine
    • Separate emotions from trading decisions by taking breaks when necessary
    • Evaluate overall trading strategy periodically for psychological impact
risk-managementdiversificationportfolio-managerrisk-analystrisk-management-teamtrading-team
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Strategies and tactics for maximising success in the forex market

  • ⛳️ Strategy 1: Utilise technical analysis

    • Study key technical indicators such as moving averages, RSI, and MACD
    • Develop a system for chart pattern recognition
    • Implement Fibonacci retracement levels for entry and exit points analysis
    • Monitor support and resistance levels continuously
    • Set up and adhere to a trading routine on a specific time frame
    • Establish stop-loss and take-profit levels before entering trades
    • Analyse historical data to identify patterns and trends
    • Use candlestick patterns for gauging market trends
    • Backtest strategies using historical market data
    • Use moving average crossovers for timely buy and sell signals

  • ⛳️ Strategy 2: Employ fundamental analysis

    • Stay updated on central bank interest rate decisions
    • Monitor geopolitical events that may affect currency pairs
    • Analyse economic indicators such as GDP, employment rates, and inflation reports
    • Understand the impact of trade balances and current account deficits
    • Set alerts for key economic announcements and news releases
    • Develop a calendar for tracking major economic events
    • Study trends in financial markets to gauge investor sentiment
    • Establish relationships between different economic data and currency movements
    • Use currency correlations to make informed trading decisions
    • Predict the impact of fiscal policies on currency values

  • ⛳️ Strategy 3: Implement risk management techniques

    • Determine an acceptable risk-reward ratio for each trade
    • Allocate a fixed percentage of capital per trade to minimise loss exposure
    • Set strict stop-loss orders to protect against major losses
    • Utilise trailing stops to lock in profits as the market moves favourably
    • Limit overtrading by adhering to a trading plan and strategy
    • Diversify across multiple currency pairs to mitigate risk
    • Regularly review and adjust risk management policies
    • Keep a journal of trades to identify strengths and weaknesses
    • Use position sizing techniques to minimise risk
    • Educate yourself continuously on new risk management strategies
technical-analysisrisk-managementtraderfinancial-analysttrading-teamrisk-management-team
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Strategies and tactics for resolving reported risks by at least 75% throughout the year

  • ⛳️ Strategy 1: Assess and classify all reported risks

    • Compile a list of all reported risks from the last year
    • Categorise risks based on severity and likelihood
    • Prioritise risks that have the highest severity and likelihood
    • Set deadlines for addressing each risk category
    • Assign responsible team members for each risk category
    • Review and update the risk classification quarterly
    • Hold monthly meetings to assess progress on risk resolution
    • Develop a risk assessment template for future use
    • Identify any new risks during regular risk assessments
    • Document lessons learned from resolved risks

  • ⛳️ Strategy 2: Implement effective risk mitigation strategies

    • Develop specific action plans for each prioritised risk
    • Allocate necessary resources for risk mitigation
    • Monitor the implementation of each action plan
    • Conduct training sessions on risk mitigation techniques
    • Implement a risk tracking software
    • Create a risk communication plan to inform stakeholders
    • Evaluate the effectiveness of risk mitigation efforts monthly
    • Adjust mitigation strategies based on effectiveness evaluations
    • Engage external experts when necessary for high-risk items
    • Ensure all mitigation activities are properly documented

  • ⛳️ Strategy 3: Foster a risk-aware organisational culture

    • Conduct regular risk awareness workshops for employees
    • Create a risk reporting system that encourages transparency
    • Include risk management goals in performance reviews
    • Celebrate successes in risk management to motivate staff
    • Integrate risk management into the company strategy
    • Establish a risk management committee
    • Provide continuous education on emerging risks
    • Facilitate open discussions about risks and solutions
    • Set up an anonymous reporting system for risks
    • Encourage leadership to model risk-aware behaviours
risk-assessmentrisk-mitigationrisk-managerproject-managerrisk-management-teamexecutive-team
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Strategies and tactics for preparing a comprehensive mall review strategy

  • ⛳️ Strategy 1: Establish a robust mall management structure

    • Appoint a mall general manager to oversee overall operations
    • Set up specialized departments for operations, leasing, marketing, and finance
    • Designate managers for each department to ensure focused leadership
    • Implement weekly cross-departmental meetings for alignment on objectives
    • Create clear reporting structures with department heads reporting to the general manager
    • Conduct quarterly reviews of the management structure to identify areas for improvement
    • Develop a succession plan to maintain leadership continuity
    • Integrate communication and project management tools for improved collaboration
    • Organize bi-annual team-building activities to strengthen team dynamics
    • Set up performance evaluation criteria for department heads

  • ⛳️ Strategy 2: Maximize tenant occupancy through strategic lease management

    • Establish a dedicated leasing department for managing tenant relations
    • Develop a tenant mix strategy to balance retail, F&B, and service stores
    • Introduce a lease expiry management system for timely renewals and negotiations
    • Set up KPIs for monitoring occupancy rate, lease terms, and tenant satisfaction
    • Conduct market research to identify potential new tenants and sectors to enhance the mall's offering
    • Review and adjust lease terms to reflect current market conditions
    • Implement a feedback system for tenants to express needs and concerns
    • Organize regular tenant meetings to discuss and negotiate leasing issues
    • Provide incentives for anchor tenants to ensure long-term occupancy
    • Develop a contingency plan for managing high vacancy rates

  • ⛳️ Strategy 3: Enhance financial transparency and operational efficiency

    • Set up a finance and accounting department for revenue and cost management
    • Implement monthly financial reporting to track profitability and operational costs
    • Introduce a centralized billing system for tenant payments
    • Automate vendor and supplier payments to optimize cash flow
    • Conduct regular financial audits to ensure accuracy and compliance
    • Establish an expense management policy for cost control
    • Analyze financial data to identify trends and areas for cost reduction
    • Train staff in financial literacy to enhance fiscal responsibility
    • Create an annual budget plan aligning with mall objectives
    • Integrate accounting software for streamlined financial operations
mall-managementtenant-occupancygeneral-managerleasing-managerfinance-departmentleasing-department
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Strategies and tactics for analysing real-time market data for Quickler trading

  • ⛳️ Strategy 1: Leverage real-time data analytics

    • Subscribe to a reliable financial data service with real-time updates
    • Utilise data visualisation tools to track live asset price movements
    • Set up alerts for significant market movements to capture trading opportunities
    • Analyse historical data to identify patterns in quick price changes
    • Incorporate AI analytics for predicting immediate market trends
    • Develop a dashboard with key performance indicators and metrics
    • Engage in continuous learning of advanced data analysis techniques
    • Utilise APIs for seamless data integration into trading platforms
    • Regularly update and maintain models for data accuracy
    • Collaborate with data scientists for sophisticated market insights

  • ⛳️ Strategy 2: Implement short-duration trading methodologies

    • Learn the fundamentals of scalping and momentum trading
    • Attend workshops or webinars focused on rapid trading strategies
    • Conduct backtests on historical data to validate techniques
    • Develop a set of criteria for entering and exiting trades
    • Create a checklist to evaluate momentum and trend strength
    • Utilise technical indicators like moving averages for signal verification
    • Employ chart patterns that are favourable for short-term gains
    • Monitor news and events that could impact asset volatility
    • Establish an efficient communication system for time-sensitive trade actions
    • Review and iterate techniques monthly based on performance outcomes

  • ⛳️ Strategy 3: Optimize risk management and trading performance

    • Define risk parameters with specific stop-loss levels for each trade
    • Utilise position sizing calculators based on account size and risk tolerance
    • Maintain a trading journal to document all trades and their outcomes
    • Regularly analyze trading logs to identify mistakes and areas of improvement
    • Implement automated stop-loss orders to cap potential losses
    • Diversify asset choices to balance risk across different markets
    • Develop a stress-test scenario plan for potential market downturns
    • Set periodic review sessions to assess risk management practices
    • Incorporate feedback from successful traders in the trading community
    • Utilise simulation software to practice strategies without financial risk
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Strategies and tactics for improving Trading Outcomes

  • ⛳️ Strategy 1: Utilise technical analysis

    • Select appropriate technical indicators such as moving averages and RSI
    • Set up charting software to monitor historical price movements
    • Backtest the selected indicators on historical data
    • Identify entry and exit points based on the indicators
    • Define stop-loss and take-profit levels for each trade
    • Implement a trading plan with defined risk management strategies
    • Review and adjust the strategy periodically based on performance
    • Avoid entering trades that do not meet all predefined criteria
    • Analyse the impact of market news before entering a trade
    • Use paper trading to simulate trades before actual execution

  • ⛳️ Strategy 2: Optimise risk management

    • Determine the maximum acceptable risk per trade as a percentage of the account
    • Use position sizing techniques to limit potential losses
    • Set consistent stop-loss orders on every trade
    • Implement a trailing stop to secure profits while the trade is in profit
    • Review and adjust stop-loss levels based on volatility
    • Limit the number of simultaneous trades to manage overall risk exposure
    • Keep a trading journal to analyse trade outcomes and refine strategies
    • Reassess risk levels periodically based on changes in market conditions
    • Avoid increasing position sizes after losses to prevent emotional trading
    • Take regular breaks to maintain a focused and calm mindset

  • ⛳️ Strategy 3: Diversify trading portfolio

    • Identify a range of markets to trade such as forex, stocks, and commodities
    • Select multiple trading instruments within each market segment
    • Research and understand the correlations between different trading instruments
    • Allocate a percentage of the trading account to each market segment
    • Adjust portfolio allocations regularly based on market performance
    • Periodically review and rebalance the portfolio to maintain diversification
    • Focus on long-term performance rather than short-term fluctuations
    • Avoid overexposure to any single market or instrument
    • Continuously educate yourself on new markets and opportunities
    • Utilise automated portfolio management tools to streamline processes
tradingrisk-managementtraderrisk-analysttrading-deskinvestment-team
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Strategies and tactics for developing a Comprehensive Strategic Plan for Marketing and Communications

  • ⛳️ Strategy 1: Strengthen brand recognition and awareness

    • Conduct a brand audit to identify strengths and areas for improvement
    • Create a unified branding guideline to be distributed across all departments
    • Organise a series of brand-focused workshops for FNU staff
    • Develop a consistent messaging strategy highlighting FNU's dual roles
    • Engage professional designers to update FNU's visual identity
    • Leverage successful alumni stories in marketing materials and campaigns
    • Launch a digital campaign featuring student testimonials and experiences
    • Collaborate with influencers and media for broader reach
    • Use targeted social media ads to reach potential students
    • Monitor brand perception through regular surveys and social listening

  • ⛳️ Strategy 2: Enhance stakeholder engagement and partnerships

    • Map out key stakeholders and create a targeted engagement plan
    • Develop an alumni relations strategy that includes networking events
    • Launch a newsletter for staff, students, and alumni to foster connection
    • Establish partnerships with local and international businesses
    • Organise industry panels and talks at FNU to increase visibility
    • Promote collaborative research initiatives with partner institutions
    • Host bi-annual stakeholder forums to discuss university progress
    • Develop student ambassador programs to engage current and prospective students
    • Launch campaigns highlighting student achievements in local communities
    • Implement stakeholder feedback mechanisms to improve relationships

  • ⛳️ Strategy 3: Drive a digital transformation and innovation in marketing

    • Adopt advanced digital marketing tools and platforms
    • Create a dedicated content team for social media management
    • Introduce monthly podcasts focusing on trends and experiences at FNU
    • Enhance the FNU website with a user-friendly experience
    • Run SEO and content marketing campaigns to increase organic reach
    • Engage in targeted email marketing for different audience segments
    • Invest in analytics tools to assess digital campaign performance
    • Produce engaging video content showcasing the university's offerings
    • Use virtual reality for interactive virtual tours of campus facilities
    • Launch digital education initiatives to support online learning goals
brand-recognitiondigital-transformationmarketing-managercommunications-specialistpublic-relationsdigital-marketing
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Strategies and tactics for defining Key Performance Indicators and Key Risk Indicators

  • ⛳️ Strategy 1: Identify and define relevant KPIs

    • Research industry standards for CAD design performance metrics
    • Consult with senior designers to understand company-specific KPIs
    • Define time-based KPIs such as average design completion time
    • Include accuracy metrics by measuring error rates in designs
    • Track the number of design iterations needed before approval
    • Assess customer satisfaction with completed designs
    • Measure personal development through completed training sessions
    • Include innovation metrics such as the number of suggestions for design improvements
    • Use software tools to automate tracking and reporting of KPIs
    • Regularly review and adjust KPIs to align with evolving project goals

  • ⛳️ Strategy 2: Identify and define relevant KRIs

    • Identify potential risks in the design process of press brake machines
    • Rank risks by likelihood and impact to prioritise focus
    • Define a threshold for acceptable design error rates
    • Monitor compliance with industry safety standards in designs
    • Track external factors such as supply chain disruptions affecting design timelines
    • Set up alerts for deviations from the design specifications
    • Evaluate the dependency on specific software tools or technologies
    • Include team collaboration and communication metrics
    • Use a risk management tool to automatically monitor and report KRIs
    • Regularly review and update KRIs based on recent risk assessments

  • ⛳️ Strategy 3: Implement and monitor KPIs and KRIs

    • Develop a dashboard to visualise KPIs and KRIs
    • Schedule regular team meetings to discuss KPI and KRI metrics
    • Provide training to ensure understanding of KPIs and KRIs
    • Use real-time data for continuous monitoring and adjustments
    • Compare performance against benchmarks and standards
    • Identify trends and patterns in KPI and KRI data
    • Assign accountability for maintaining specific KPIs and KRIs
    • Incorporate feedback loops for constant improvement
    • Invest in technology to enhance data accuracy and reporting
    • Conduct regular reviews to refine indicator effectiveness
performanceriskcad-designerproject-managerdesign-teamrisk-management-team
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Strategies and tactics for developing a business growth strategy for a security company

  • ⛳️ Strategy 1: Strengthen client relationships

    • Organise quarterly review meetings with top clients to discuss service feedback
    • Implement a client loyalty program to reward long-standing partners
    • Develop a client-specific newsletter sharing industry updates and company news
    • Provide personalised security audits to clients annually
    • Invite clients to participate in a bi-annual security seminar hosted by the company
    • Establish a dedicated account manager for key clients
    • Offer exclusive early-bird access to new security technology
    • Create a listening post to monitor and action client satisfaction levels
    • Develop and present case studies or success stories involving existing clients
    • Regularly survey clients to understand their evolving security needs

  • ⛳️ Strategy 2: Expand service offerings

    • Conduct market research to identify trending security needs
    • Develop partnerships with technology providers for innovative solutions
    • Launch remote monitoring services for clients with smaller budgets
    • Offer cybersecurity assessments alongside traditional security services
    • Create a mobile app to enhance client engagement and service accessibility
    • Pilot a security drone service for large-scale sites
    • Implement a rapid response team to address urgent client security issues
    • Develop an advisory service for home secure systems targeting the residential market
    • Establish a division for consultancy on regulatory compliance in security
    • Introduce environmentally sustainable security solutions

  • ⛳️ Strategy 3: Optimise security operations management

    • Adopt a new software for scheduling and managing security personnel
    • Schedule monthly debrief meetings with security teams for performance evaluation
    • Implement real-time incident reporting tools for security personnel
    • Track and review key performance indicators for security operations monthly
    • Conduct quarterly training sessions focusing on emerging security threats
    • Integrate technology to automate routine security checks and reduce manual efforts
    • Assign a risk management officer to assess vulnerabilities periodically
    • Design a reward system for security personnel achieving excellence
    • Maintain a regular review process for security protocols and guidelines
    • Create a mentorship program pairing new managers with experienced ones
client-retentioninnovationaccount-managerrisk-management-officerbusiness-developmenttechnology-integration
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Strategies and tactics for developing an Option Hedging Strategy

  • ⛳️ Strategy 1: Implement the protective put strategy

    • Identify the stock or portfolio you want to hedge
    • Purchase an equivalent amount of put options for the stock at a strike price close to the current stock price
    • Choose an expiration date for the put options that aligns with your investment timeline
    • Calculate the potential losses to ensure they are capped by the protection provided by the puts
    • Analyse historical stock performance to set realistic profit expectations
    • Keep an eye on option premiums to manage costs effectively
    • Review the option market regularly and adjust your position as needed
    • Develop a plan to roll over the options if the expiration date approaches with unfavourable stock price movement
    • Evaluate early exercise of the options if the stock approaches the strike price suddenly
    • Monitor market indicators and adjust the strategy as per changing economic conditions

  • ⛳️ Strategy 2: Utilise collar strategy for hedging

    • Identify the stock holding you wish to protect
    • Buy put options for each stock you plan to hedge
    • Sell call options at a higher strike price than the purchased put options
    • Select expiration dates that fit your investment duration for both put and call options
    • Calculate the net cost to ensure minimal expense by considering premiums spent and earned
    • Establish target exit points for the stock's performance to guide your selling decisions
    • Regularly assess volatility in the market to adjust strike prices if necessary
    • Research and choose stocks with relatively stable price history for implementation
    • Maintain a proper record of transaction costs associated with option trades
    • Assess the strategy execution before the expiry and decide on rolling over or closing positions

  • ⛳️ Strategy 3: Employ strangle strategy with risk management

    • Choose a volatile stock or asset suitable for this strategy
    • Purchase out-of-the-money call and put options with the same expiration date
    • Set different strike prices for the call and put options, both out-of-the-money
    • Analyse past price movements to determine potential future volatility
    • Determine the maximum loss (limited to premiums paid) and potential profit (theoretically unlimited)
    • Keep an eye on market events that could cause significant price swings
    • Set alerts for price movement nearing the strike prices to promptly decide on exercising the options
    • Allocate specific capital to this strategy to prevent over-investment and manage risk
    • Evaluate the strategy toward expiration and consider selling or buying offsetting positions
    • Document and analyse the outcome of each execution for continuous improvement
options-hedgingprotective-putoptions-traderfinancial-analystrisk-managementinvestment-strategy
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How to track your Risk Management strategies and tactics

Having a plan is one thing, sticking to it is another.

Don't fall into the set-and-forget trap. It is important to adopt a weekly check-in process to keep your strategy agile – otherwise this is nothing more than a reporting exercise.

A tool like Tability can also help you by combining AI and goal-setting to keep you on track.

More strategies recently published

We have more templates to help you draft your team goals and OKRs.

Planning resources

OKRs are a great way to translate strategies into measurable goals. Here are a list of resources to help you adopt the OKR framework:

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