cliff risk
n.— «In the credit derivatives market, certain instruments are exposed to what is known as “cliff risk.” This ominous sounding phrase describes a situation where the last in a series of adverse developments obliterates the value of what was only recently viewed as a triple-A-rated security. Up until that point, however, rating agencies, investors, and bankers assume that circumstances will eventually right themselves and that the principal will be paid in full, in spite of whatever bad news might have come along beforehand.» —“Credit Spinning Out of Control: America, a Cliff-Risk Nation” by Michael Panzner Seeking Alpha Apr. 9, 2007. (source: Double-Tongued Dictionary)
Further reading
In the 15th century, the word respair meant “to have hope again.” Although this word fell out of use, it’s among dozens collected in a new book of soothing vocabulary for troubled times. Plus, baseball slang: If a batter...
Eric from West Lafayette, Indiana, wonders which phrase is correct when referring to “making the grade” or “meeting expectations”: Is it cut the mustard or cut the muster? It’s the former, a reference to the strong...