TAG: risk assessment

Make it real: Developing a test framework for PNT systems and devices

Tests of the robustness of commercial GNSS devices against threats show that different receivers behave differently in the presence of the same threat vectors. A risk-assessment framework for PNT systems can gauge real-world threat vectors, then the most appropriate and cost-effective mitigation can be selected. Vulnerabilities of GNSS positioning, navigation and timing are a consequence of the signals’ very low... read more

Expert Advice: Integrity: Lessons from the 2008 Financial Collapse

February 1, 2010By

Deterministic risk modeling, the basis of the Efficient Market Hypothesis (EMH) at the core of modern quantitative finance, is known to be fundamentally flawed, but its elegance and convenience has blinded researchers to growing evidence of its weaknesses. The near-complete acceptance of the EMH led to models that dramatically accentuate its flaws, which in turn led to absurd but eagerly accepted conclusions for loan-default risk. These models proved dramatically vulnerable to changes in the housing market in 2007–2008 and led directly to the ensuing crash. read more

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