This article provides a brief overview of concepts that are fairly obvious to most professionals in the investment and insurance field but may be unfamiliar to other readers. In addition, insurance risk is presented through an uncommon perspective that sheds light on its unique characteristics and corresponding investment considerations. Investing in Risk There are no truly riskless assets. We always invest in risk. We might do it in the form of stocks, corporate bonds, real estate or treasuries, but ultimately the investment performance of these securities is predicated on their risks. We invest because we expect to earn a return commensurate with the risk we take in investing. In fact, we want the return to be higher than what the risk profile of an investment would imply. Insurance Risk is good It is too simplistic to say that �risk is bad�, and to think that it is something we want to avoid or minimise. Investing is always about risk. In fact, investors actively search for risk to ...