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Training Camp • Cybersecurity Glossary
Annualized Rate of Occurrence (ARO) estimates yearly threat frequency and feeds quantitative risk analysis via SLE and ALE calculations.
Annualized Rate of Occurrence (ARO) Definition: Annualized Rate of Occurrence (ARO) estimates yearly threat frequency and feeds quantitative risk analysis via SLE and ALE calculations.
The Annualized Rate of Occurrence (ARO) is a quantitative risk metric that estimates how many times a specific threat event is expected to happen in a single year. It is a core input to quantitative risk analysis, where it is multiplied by the Single Loss Expectancy (SLE) to calculate the Annualized Loss Expectancy (ALE), helping organizations prioritize controls based on expected annual cost.
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