Definition of Landslide
A landslide is the rapid movement of rock, soil, or debris down a slope due to gravity. It is a type of mass wasting that can range from small rockfalls to large debris flows.
Common Causes
Landslides are often triggered by heavy rainfall, earthquakes, volcanic activity, or human actions like deforestation and construction. Saturation of soil reduces stability and increases the chance of sudden movement.
Relevance in Finance and Risk
In finance, landslide can describe a sharp, broad market decline where asset prices fall rapidly across many sectors. Such moves can affect portfolios, margin requirements, and credit risk, similar to how physical landslides disrupt infrastructure and insurance exposure.
