Decoded Intelligence Signal
Conditional Value at Risk (CVaR)
advanced
risk
Verified: May 27, 2026Lexicon Core Definition
Also called Expected Shortfall; the average of losses that exceed the VaR threshold; measures the expected magnitude of tail losses rather than just the threshold, making it more appropriate than VaR for heavy-tailed distributions such as crypto returns.
Analysis Breakdown
Also called Expected Shortfall; the average of losses that exceed the VaR threshold; measures the expected magnitude of tail losses rather than just the threshold, making it more appropriate than VaR for heavy-tailed distributions such as crypto returns. Full explanation coming soon when Journey 25 content is ingested.