Money · RATIOXA GLOSSARY

Downside scenario

Plausible adverse combination of key uncertain assumptions.

01

Simple definition

Plausible adverse combination of key uncertain assumptions.

02

Why it matters

This term changes how inputs, cash flows or results should be interpreted. RATIOXA keeps it explicit so two options are compared on the same basis.

03

Worked example

A −5% return tests whether investing remains tolerable under loss.