sensitivity

fluvis82

New Member
Italian
Hi all
I would like to know the specific meaning of the word "sensitivity" in the financial environment.
Sentence is the following one: "Additional analyses focus on drivers / sensitivities". The context is Business Case modeling.

thank you
 
  • k_georgiadis

    Senior Member
    English (AmE)
    Sensitivity = reattività, for example reattività della domanda.

    Demand for healthcare care products displays low sensitivity to price changes, i.e. demand for pharmaceutical products is not sensitive to price changes because people need them and will continue buying them.

    Sensitività used almost synonymously in the financial arena; for example analisi di sensitività = sensitivity analysis.

    Whereas sensitivity studies how certain measurements are affected by other factors, a driver is a factor that acts as an engine, impacting others. E.g., consumer spending is a major driver of economic growth.

    And...

    Welcome to the Forum!
     

    TimLA

    Member Emeritus
    English - US
    Hi Fluvis and welcome to the forum.

    In this case "sensitivities" means "those things that change the behavior of X".

    Here are some examples:
    The price of Ford stock is sensitive to gas prices and interest rates.
    Analysis of the sensitivities of Ford stock include gas prices and interest rates.

    The driver for accepting capitalism is self-interest, but the sensitivities to accepting that economic form include openness of the public to competition, and an infrastructure created by the government.

    I wonder about "sensibilità"...???
     

    london calling

    Senior Member
    UK English
    Ciao fluvis,
    Ti hanno già risposto (e bene!:)) i nostri amici; volevo solo aggiungere che qui in azienda (un'azienda italianissima) si parla di "fare una sensitivity"....si intende sensitivity analysis, ovviamente.
     
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