# Risk

* Top 3 Risk Observation: This question assesses the top 3 risks associated with the asset, taking into account factors such as market trends, regulatory changes, and technological developments. These risks are identified from an elimination point of view and are not necessarily the most severe risks, but the ones that are more probable to happen.
* Policy / Regulatory: This question assesses whether the asset is compliant with relevant laws and regulations, and whether there are any policy or regulatory risks that could negatively impact the asset.

Based on the answers to these questions, the asset is assigned a score for the Risks parameter, which reflects the overall level of risk associated with the asset. A higher score indicates a higher level of risk, while a lower score indicates a lower level of risk. However, it is worth noting that a detailed risk assessment is done in a separate phase called GSRM (Governance, Social and Risk Management).


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