overstaprisicos

Overstaprisico, or overstaprisicos in its plural form, is a term used in risk management to describe the risk that a transition or switch from one state, policy, product, or market configuration to another creates uncertainties and potential losses. The concept is often applied to transitional phases where systems are shifting from one technology or framework to another, such as the move from fossil fuels to low-carbon energy, changes in tax or subsidy regimes, or reorganizations of market regulation. The risk arises from imperfect information, timing mismatches, and the possibility that costs, benefits, or competences do not materialize as expected during the transition.

Areas of application include financial markets, energy and utilities, and corporate strategy. It can affect investors, lenders, insurers, and firms that must adjust portfolios, products, or operations. In finance, overstaprisico includes asset price volatility due to policy announcements, unexpected policy reversals, or rapid shifts in demand. In energy and industry, it covers stranded assets and technology risk as markets reprice assets during the transition.

Measurement and management rely on scenario analysis, stress testing, governance, and staged implementation; diversification across assets and technologies; hedging where possible; active monitoring of policy developments and technology trajectories; clear communication with stakeholders.

The term reflects broader concerns about transition risk in climate finance and regulatory risk associated with policy change. See also climate-related financial risk and regulatory risk.