# Scenario Analysis

*Risk & Portfolio — Finicade finance glossary*

Asking 'what happens to my portfolio if…' — a rate shock, a currency crisis, a 2008 rerun — and pricing the answer. It probes specific dangers that a single risk number can blur together.

**Also known as:** hypothetical-scenarios, historical-scenarios

**Related terms:** [Stress Testing](https://finicade.com/glossary/stress-testing), [Value at Risk (VaR)](https://finicade.com/glossary/value-at-risk), [Correlation](https://finicade.com/glossary/correlation)

**Taught in:** Risk Arena — Historical Simulation: Let the Past Speak

Source: https://finicade.com/glossary/scenario-analysis