# Stress Testing

*Risk & Portfolio — Finicade finance glossary*

Deliberately running a portfolio through brutal hypothetical scenarios — a 2008 rerun, a rate spike — to see what would break. It probes the rare disasters that everyday risk measures like VaR quietly ignore.

**Also known as:** stress test, reverse stress tests, stress and liquidity

**Related terms:** [Value at Risk (VaR)](https://finicade.com/glossary/value-at-risk), [Expected Shortfall (CVaR)](https://finicade.com/glossary/expected-shortfall), [Backtesting](https://finicade.com/glossary/backtesting)

**Taught in:** Risk Arena — Stress Tests & Scenario Analysis

Source: https://finicade.com/glossary/stress-testing