This book is the first educational and encyclopedic publication in Russia, which, in accordance with international standards, covers the main issues of financial risk management. The second edition is supplemented with new materials on organizational aspects of risk management, interest rate evolution models, bank deposit insurance risks and macroeconomic risk analysis. Modern methods of quantitative assessment and financial risk management are considered. A systematic review of quantitative analysis methods used in risk management, pricing models and strategies for applying derivative financial instruments is given. An overview of the main provisions of the New Basel Capital Agreement 2004 is provided.