What is 'Counterparty Risk'. Counterparty risk is the risk to each party of a contract that the counterparty will not live up to its contractual obligations. Counterparty risk is a risk to both parties and should be considered when evaluating a contract. In most financial contracts, counterparty risk is also known as default risk. Next Up.
dimension noun [ C ] (MEASUREMENT) âº a measurement of something in a particular direction, esp. its height, length, or width: The dimensions of the room are 26 feet by 15 feet. dimension noun [ C ] (QUALITY) âº a part or quality of a thing or situation that has an effect on the way you think about it:
1. (often plural) a measurement of the size of something in a particular direction, such as the length, width, height, or diameter. 2. (often plural) scope; size; extent: a problem of enormous dimensions. 3. aspect: a new dimension to politics.