What is Risk appetite?

The amount and type of risk an organisation is willing to accept in pursuing objectives.

This term is included in the Boderia commercial terminology library under Governance & Leadership. Its interpretation and practical application depend on the organisation's operating environment and the decisions being made. This entry is an initial definition for editorial review, not a fully developed educational article.

Where relevant, consider how risk appetite interacts with strategy, people, processes, technology, data and governance across the commercial lifecycle. A specific capability or control should not be mistaken for a complete Governed Revenue System.