What is risk currency in SAP FS-PM - Policy Management?

SAP Term: risk currency

• Component: FS-PM

• Component Name: Policy Management

• Description: Currency in which the contract data, such as the sum insured, is entered in the system.

Smart SAP Assistant

• Key Concepts: 
  Risk currency is a feature of SAP FS-PM Policy Management that allows users to define the currency in which a risk should be measured. This feature allows users to set the currency for each risk, allowing them to better manage their risk exposure. 
  
  How to use it: 
  To use the risk currency feature, users must first define the currencies they wish to use. This can be done in the “Currency” tab of the FS-PM Policy Management application. Once the currencies have been defined, users can then assign a currency to each risk they wish to measure. This can be done in the “Risk” tab of the application. 
  
  Tips & Tricks: 
  When assigning currencies to risks, it is important to consider how the currency will affect the risk measurement. For example, if a risk is measured in a different currency than the one in which it is being managed, then it may be difficult to accurately measure its impact. 
  
  Related Information: 
  For more information on using the risk currency feature of SAP FS-PM Policy Management, please refer to the official documentation available on SAP’s website.