Can I say VAR is a prediction report?

Question

We use Algorithmics RiskWatch where portfolios are analyzed by VaR over scenarios. Can I say that they are predictions reports? or descriptions reports?

Con Fluentsy · Answer

They are neither predictive or descriptive, but proscriptive it is a pre-emptive warning of the worst case scenario, of which you are being given notice to take action to avoid. It is risk management.

Can I say VAR is a prediction report?

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