A comprehensive, practical, and internationally applicable, handbook for corporates (of all sizes), who wish to understand, formalize or improve on their financial risk management processes and procedures. Setting out and demonstrating a framework for risk management, the Handbook enables managers to go through a structured, flexible routine to identify, assess, evaluate, respond to and report risks. It applies the risk management framework to the management of the main financial risks (FX, interest rate, liquidity) and also discusses other important risks including operational, commodity, credit, and pension risk. The book places financial risk management in the context of the business strategy of the firm and places instruments and their use in the context of the whole risk management process. Part One introduces risk and how it is fundamental to the firm and the sorts of risk that investors expect firms to take. With a backdrop of corporate finance principles, a risk management framework is introduced, showing an overall approach to risk but highlighting the different types of risk where treatment may be different. Further sections of the Handbook present a framework for managing financial market risk for interest rates, foreign exchange, and liquidity, and goes on to cover such crucial, and often overlooked topics such as counter party risk, commodity risk, pension risk, and treasury operational risk and control.