Right-way risk

Japanese

正方向リスク

Also known as

RWR

Last reviewed

October 5, 2026

This is a draft, shown for review before publication.

Right-way risk is the relationship in which the exposure to a counterparty becomes smaller as the counterparty's creditworthiness declines. Because the exposure is small in the scenarios where the counterparty defaults, CVA is smaller than when the two are unrelated.