Proactive and reactive aggression represent distinct functions of aggression that are associated with different risk factors, including individual and contextual characteristics. However, more research evaluating the interactive effects of risk factors is needed. The current study evaluated whether corporal punishment moderated the influence of neighborhood problems and anger coping on proactive and reactive aggression in a child psychiatric inpatient sample of 6 to 13 year olds (n = 151). Findings were compared across child- and caregiver-reports of aggression. Consistent with expectations, anger coping was more strongly associated with reactive aggression than proactive aggression across informants. In contrast, perceived neighborhood problems were only associated with child-reports of proactive aggression, with corporal punishment moderating this association. Specifically, the association between neighborhood problems and proactive aggression was only evident at high levels of corporal punishment. Treatment implications and future directions are discussed.