Instead of writing a long story, one remark first. Value at Risk is used very often, but this measure has serious drawbacks, Instead, study, for instance the paper added. That might help you forward. Kind regards.J.W.Nieuwenhuis.

Yes, we can because market risk is one measurement of financial risk. Financial risk has a lot of measures, such as liquidity, credit, solvency, and, of course, market risk, you can use them as independent variables in your research. Then using an appropriate model, you can explain the relationship between these variables and the dependent variable of your choice. However, if your dependent variable is financial risk management in banks, then it is not correctly defined.

Thank you very much for your valued answer. Kindly, is there any recommended article on this issue Asrat Araya

Hello Adey Yasin Tarawneh the following resources might be helpful.

Market risk and financial performance of non-financial companies listed on the Moroccan stock exchange

DF Kassi, DN Rathnayake, PA Louembe, N Ding - Risks, 2019 - mdpi.com

… This study examines the effect of market risk on the financial performance of 31 non-financial … We utilized three alternative variables to assess financial performance, namely, the return …

Save Cite Cited by 32 Related articles All 12 versions

[PDF] academia.edu

[PDF] The Impact of financial risks on the firms' performance

JAM Noor, AI Abdalla - European Journal of Business and …, 2014 - academia.edu

… variety of risks including credit risk, liquidity risk, foreign exchange risk, market risk and interest rate risk. … The main objective of this study was to analyze effects of financial risks to firm’s …

Save Cite Cited by 48 Related articles All 3 versions

Market risks of financial sector and their impact on the regional institutions

EP Duvalova, YI Duvalova… - Academy of …, 2016 - search.proquest.com

… To begin with, we have to define market risk and its share in total financial risks of the … the changes and the impact of components of market risk on the very magnitude of the risk. In 2013…

Save Cite Cited by 8 Related articles All 3 versions

[PDF] vnbrims.org

[BOOK] Measuring market risk

K Dowd - 2007 - books.google.com

… one particular form of financial risk – namely, market risk, or the risk of loss (or gain) arising from unexpected changes in market prices (eg, such as security prices) or market rates (eg, …

Save Cite Cited by 1228 Related articles All 11 versions

[PDF] nber.org

[PDF] Practical volatility and correlation modeling for financial market risk management

TG Andersen, T Bollerslev, P Christoffersen… - The risks of financial …, 2007 - nber.org

… Hence the field of financial econometrics devotes considerable attention to … financial econometrics dealing with time-varying volatility to the measurement and management of market risk…

Save Cite Cited by 202 Related articles All 27 versions

[HTML] mdpi.com

[HTML] Does working capital management influence operating and market risk of firms?

A Akbar, M Akbar, M Nazir, P Poulova, S Ray - Risks, 2021 - mdpi.com

… impact of working capital management practices on operating risk and accessing the stock market risk. … working capital management and operating and market risks. Thirdly, to address …

Save Cite Cited by 7 Related articles All 11 versions

[PDF] semanticscholar.org

[BOOK] Market risk analysis, practical financial econometrics

C Alexander - 2008 - books.google.com

… In summary, if there is any good reason for not treating market risk management as … finance, and particularly to resolve problems in market risk analysis. It aims to fill a gap in the market …

Save Cite Cited by 681 Related articles All 4 versions

[PDF] semanticscholar.org

[BOOK] Market risk analysis, value at risk models

C Alexander - 2009 - books.google.com

… for not treating market risk management as a separate discipline, it is that market risk management should be the business of all decision makers involved in finance, with primary …

Save Cite Cited by 561 Related articles All 4 versions

[PDF] researchgate.net

Decomposing financial risks and vulnerabilities in emerging Europe

AM Maechler, S Mitra, DL Worrell - IMF Staff Papers, 2010 - Springer

… This paper assesses how various types of financial risk such as credit risk, market risk, and liquidity risk affect banking stability in emerging Europe. It also examines how the quality of …

Save Cite Cited by 110 Related articles All 16 versions

[PDF] mdpi.com

Assessing the market risk on the government debt of Kazakhstan and Bulgaria in conditions of turbulence

O Em, G Georgiev, S Radukanov, M Petrova - Risks, 2022 - mdpi.com

… Measuring market risk in fixed-term financial instruments continues to pose challenges to scholars and practitioners in modern financial risk management. When assessing the risk of …

Save Cite Cited by 3 Related articles All 6 versions

You can also read my article here:

Determinant Risk Factors on Valuation of Banks’ Stock Return: A Case of Financial Institutions Management.

I used market risk as one of my control variables to explain cumulative abnormal returns (CAR).

Thank you very much Dr. It is very kind of you, I appreciate it. I am using the market risk and insolvency risk as proxy for the financial risk management, and the financial risk management acts as a mediator variable between two variables in my study, I just want to check if I can measure the mediator variable using the MR and insolvency risk. I just want to check how both measures empirically indicate the financial risk management

Thank you very much Asrat Araya

It is a good idea, but it will work much better if you use market risk and insolvency risk as control variables rather than mediators. That is because you can examine the interactions between each variable and the dependent variable and assess each of their effects as well, providing you with a solid analysis result.

The following selected articles are also relevant to your study area.

1. DETERMINANTS OF BANK PROFITABILITY IN A

DEVELOPING ECONOMY: EMPIRICAL EVIDENCE

FROM THE PHILIPPINES

2. The Determinants of Systematic Risk in the Italian Banking System:

A Cross-Sectional Time Series Analysis

3. Bank-specific, industry-specific and macroeconomic determinants of bank profitability

4. The internal determinants of bank profitability and stability

5. Determinants of Islamic Banking Profitability

6. The determinants of commercial bank profitability in Sub-Saharan Africa

Thank you very much dr. Kindly do you have any ISI paper used market risk as a measure of risk management or insolvency risk Asrat Araya

Dear Adey Yasin Tarawneh, did you mean International Scientific Indexing (ISI) paper? If so, I will try but I don not know when I can come up with these papers or a paper. I will look into it. Thank you.

Yes, you can.

Thank you very much . Kindly do you recommend any ISI article that measured the financial risk management on bank performance (using market risk as a proxy of risk management

Vigen Babkenovich Minasyan