Risk aggregation consolidates disparate risks from different sources, geographies, or categories to provide a holistic view of organizational risk. This process accounts for correlations, dependencies, and concentration effects that may not be visible when viewing risks in isolation. A financial institution, for example, might aggregate credit, market, and operational risks to determine total capital requirements under stress scenarios. Advanced techniques include copula methods, Monte Carlo simulation, and scenario analysis. Effective aggregation reveals hidden concentrations and enables better capital allocation decisions.