信用风险管理(英文)
信用风险管理PPT教学课件
DSO Impact … an example
Actual Q3 A/R Q3 Sales \ DSOs =
Company A $295,396,000 $261,201,000 124*
Credit Strategy & Risk Tolerance
Credit Strategy Statement and Specific Quantifiable Objectives Risk Tolerance
Coordination with Business Plan
Management Review Methodology
Credit as a Facilitator
Credit risk management is important
– Credit is a facilitator of business growth and performance
– High business margins tend to attract lower quality clients and therefore higher risk profile to manage
Reassessment Credit Strategy & Risk Tolerance
A New Paradigm
A new business paradigm had evolved: causing a lack of reliance on good fundamental analysis The idea that stock market values would continue to go up indefinitely
信用风险管理实务(英文版)
信用风险管理实务(英文版)Credit Risk Management PracticesIntroduction:Credit risk management is an integral part of the financial industry, ensuring the stability and profitability of financial institutions. It involves the assessment, measurement, monitoring, and control of credit risk to mitigate potential defaults and losses. This article aims to discuss the key practices in credit risk management and their importance in maintaining a healthy credit portfolio.1. Credit Risk Assessment:The first step in credit risk management is the assessment of creditworthiness. Financial institutions need to evaluate the creditworthiness of potential borrowers before extending credit. This includes analyzing their financial statements, credit history, and market conditions to determine the likelihood of default. By conducting thorough due diligence, institutions can identify potential risks and make informed lending decisions.2. Credit Risk Measurement:Credit risk measurement refers to the quantification of credit risk through various statistical models and methodologies. This process helps institutions understand the potential loss they might incur due to credit default. Common measures include the Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD). These measures enable institutions to estimate the risk-adjusted return on their credit portfolio and allocate capital accordingly.3. Credit Risk Monitoring:After extending credit, it is essential to continuously monitor the creditworthiness of borrowers. Regular monitoring allows institutions to identify early warning signs of potential default, enabling them to take timely actions to minimize losses. Key monitoring activities include reviewing financial statements, credit reports, market conditions, and conducting site visits or customer interviews when necessary.4. Credit Risk Control:Credit risk control involves implementing strategies and measures to mitigate credit risk. This includes setting appropriate credit limits, establishing credit policies and procedures, and utilizing collateral or guarantees to secure loans. Institutions should also establish an effective credit risk review process, ensuring that credit exposure is within acceptable limits and periodically reassessed.5. Credit Risk Diversification:Diversification is crucial in credit risk management to reduce concentration risk. Institutions should strive to have a well-diversified credit portfolio, spreading their exposure across various industries, geographies, and borrower types. This helps mitigate the impact of potential defaults in specific sectors or regions and reduces the overall risk of the portfolio.6. Credit Risk Mitigation:In addition to diversification, various credit risk mitigation techniques can be employed. These include credit default swaps, loan syndications, securitization, and credit insurance, amongothers. These risk mitigation tools help transfer or share credit risk with other parties, reducing an institution's exposure to potential defaults.7. Stress Testing:Stress testing is an important practice in credit risk management that evaluates the resilience of a credit portfolio under adverse scenarios. Institutions simulate a range of stress scenarios, such as economic downturns or industry-specific shocks, to assess the potential impact on credit portfolios. This helps institutions identify vulnerabilities, evaluate the adequacy of capital reserves, and develop contingency plans.Conclusion:Effective credit risk management is critical for the financial stability and profitability of institutions. By employing robust credit risk assessment, measurement, monitoring, and control practices, institutions can reduce the likelihood and impact of defaults, resulting in a healthier credit portfolio. Additionally, diversifying credit exposure and utilizing risk mitigation techniques further enhance the resilience of institutions against credit risk. Regular stress testing ensures that institutions are prepared for unexpected adverse scenarios. Overall, a comprehensive credit risk management framework helps institutions make informed lending decisions and protect themselves from potential losses.Sure! Here is the continuation of the article:8. Credit Risk Reporting:An essential component of credit risk management is regular andcomprehensive reporting. Institutions should establish a robust reporting framework to monitor and communicate credit risk exposures and trends to relevant stakeholders, including senior management, regulatory authorities, and investors. This helps facilitate informed decision-making, risk assessment, and strategic planning.9. Credit Risk Culture:A strong credit risk culture within an institution is crucial for effective risk management. It involves instilling a risk-aware mindset and promoting accountability at all levels of the organization. Employees should be educated on credit risk principles, policies, and procedures to ensure consistent adherence to risk management practices. Additionally, establishing a reward system that aligns with prudent credit risk management encourages employees to make sound credit decisions.10. Regulatory Compliance:Credit risk management practices must comply with applicable regulatory requirements. Financial institutions are subject to regulations and guidelines issued by regulatory authorities, such as the Basel Committee on Banking Supervision. Compliance with these regulations ensures that institutions maintain adequate capital levels, risk management frameworks, and disclosure requirements. Failing to comply with regulatory standards can lead to penalties, reputational damage, and legal consequences.11. Technology and Analytics:Technological advancements and data analytics play a pivotal role in credit risk management. Institutions should leverage innovativetools and systems to automate and streamline credit risk processes, improve data accuracy, enhance risk modeling capabilities, and enable real-time monitoring. Predictive analytics can help identify early warning signals of potential credit deteriorations and facilitate proactive risk management actions.12. Scenario Analysis:Apart from stress testing, institutions can benefit from conducting scenario analysis to assess the impact of specific events or market changes on their credit portfolios. This involves simulating different scenarios, such as changes in interest rates, commodity prices, or currency fluctuations, to evaluate the sensitivity of the portfolio and identify potential risks. By assessing various scenarios, institutions can better prepare for potential credit risks and adapt their risk management strategies accordingly.13. Portfolio Review and Remediation:Regular portfolio reviews are essential to identify underperforming loans and take appropriate remedial actions. Institutions should periodically assess their credit portfolios, identifying loans with high credit risk or potential defaults. Actions may include restructuring loans, providing additional support to borrowers, or even selling off non-performing assets. This proactive approach helps minimize losses and improve the overall quality of the credit portfolio.14. Risk Appetite Framework:Establishing a risk appetite framework is crucial in credit risk management. This framework sets the boundaries within which the institution is willing to accept credit risk. It defines the tolerancelevel for credit risk exposure and guides strategic decision-making. The risk appetite framework should align with the institution's overall risk profile, business strategy, and financial goals, ensuringa consistent and well-defined approach to credit risk management.15. Talent and Expertise:Having a competent and experienced credit risk management team is vital for effective risk management. Institutions should invest in hiring and retaining skilled professionals with expertise in credit analysis, risk modeling, financial markets, and regulatory compliance. Additionally, providing ongoing training and professional development opportunities helps keep the team updated with the latest industry trends and best practices in credit risk management.Conclusion:In conclusion, effective credit risk management practices are essential for financial institutions to mitigate the potential defaults and losses associated with lending activities. Credit risk assessment, measurement, monitoring, and control form the foundation of a comprehensive risk management framework. Diversification, risk mitigation techniques, and stress testing further enhance risk resilience. Strong credit risk culture, regulatory compliance, technology utilization, scenario analysis, and portfolio reviews contribute to a robust credit risk management framework. Ultimately, successful credit risk management enables institutions to make informed lending decisions, protect themselves from potential losses, and ensure the stability and profitability of their credit portfolios.。
信用风险管理英文版
Company A $295,396,000 $261,201,000 124*
Peer Average
51.3 D Cash
51.3 $261,201,000 $122,002,230
+$173,393,770
Equals 295.4M/261.2M x 90(or number of days in sales period)
Credit Risk Management
Enhancing Your Bottom Line
Credit Background
Thorough identification and accurate measurement of credit risk, supported by strong risk management can help improve the bottom line …..An uncertain and volatile economic environment significantly impacts this ability …..The desire to grow and turn in outstanding results has a tendency to put pressure on the checks and balances within businesses
Reporting
The business strategies and objectives drive the establishment of credit policies and procedures. Measurement and reporting as well as the use of current technologies enhance credit decision-making and improve risk management. The entire process is continually re-evaluated and improved.
德勤信用风险管理(英文版)(PPT)
Value Proposition
Credit plays a critical role in “selling〞 products and services Expands revenue opportunities with creditworthy, incremental customers Utilizes innovative structures to support business relationships
– Project Finance
– Structured Transactions
– Leases with Recourse
Derivatives Exposures
– FX, Interest Rate Risk, Commodities etc.
Collateral Risk
– Parent or Third Party Guarantees
tends to include managing on a transactional basis by evaluating specific attributes such as structuring, collateral and pricing
represents managing on a portfolio basis including aspects such as concentrations, correlations and diversification
Actual Q3 A/R Q3 Sales \ DSOs =
Company A $295,396,000 $261,201,000 124*
Peer Average 51.3
德勤-信用风险管理(英文PPT35
Credit Risk Management
A complete and coherent risk management framework contains the following elements
Credit Policies & Procedures
Credit Strategy & Risk Tolerance
– Project Finance – Structured Transactions – Leases with Recourse
Derivatives Exposures
– FX, Interest Rate Risk, Commodities etc.
Collateral Risk
– Parent or Third Party Guarantees – Commercial and Standby Letters of Credit
Credit Risk Areas to Consider
Origination/ Assessment
Sales Channels
Risk Strategy
Underwriting Standards
Credit Application
Analysis
Business/ Industry
cash flow stability with higher P/E multiples – Marketplace penalizes credit induced volatility and
“surprises” Raises questions about quality of management
relationships
信用风险管理实务英文版
Effective credit risk management limits credit losses and provides stable cash flows and earnings – Marketplace rewards companies exhibiting earnings and cash flow
– Project Finance – Structured Transactions – Leases with Recourse
Derivatives Exposures
– FX, Interest Rate Risk, Commodities etc.
Collateral Risk
– Parent or Third Party Guarantees – Commercial and Standby Letth higher P/E multiples – Marketplace penalizes credit induced volatility and “surprises”
Raises questions about quality of management
Corporate Credit Risk
– Credit is a facilitator of business growth and performance
– High business margins tend to attract lower quality clients and therefore higher risk profile to manage
信用风险管理实务(英文版)(ppt 35页)
results has a tendency to put pressure on the checks and balances within businesses
– Project Finance – Structured Transactions – Leases with Recourse
Derivatives Exposures
– FX, Interest Rate Risk, Commodities etc.
Collateral Risk
– Parent or Third Party Guarantees – Commercial and Standby Letters of Credit
Origination
Sales channels
Credit Analysis
Financial analysis
Credit analysis
Risk rating
Credit sห้องสมุดไป่ตู้oring
Reporting
Management reporting
Exposure aggregation
RISK MANAGEMENT
The measures drive value creation and should support problem identification and correction.
Credit Risk Management’s Inter-related Activities
- 1、下载文档前请自行甄别文档内容的完整性，平台不提供额外的编辑、内容补充、找答案等附加服务。
- 2、"仅部分预览"的文档,不可在线预览部分如存在完整性等问题,可反馈申请退款(可完整预览的文档不适用该条件!)。
- 3、如文档侵犯您的权益，请联系客服反馈,我们会尽快为您处理(人工客服工作时间：9:00-18:30)。
– Note also that Critical Suppliers to the company may pose specific credit risk
DSO Impact … an example
Actual Q3 A/R Q3 Sales \ DSOs = Hypothetical DSOs Q3 Sales \ Q3 A/R =
– Project Finance – Structured Transactions – Leases with Recourse
Derivatives Exposures
– FX, Interest Rate Risk, Commodities etc.
Collateral Risk
– Parent or Third Party Guarantees – Commercial and Standby Letters of Credit
Plan
Methodology
Improve Profitability
Credit Strategy/ Plan
Credit Strategy & Risk Tolerance
Credit Strategy Statement and
Risk Tolerance
Coordination with Business
Specific Quantifiable Objectives Management Review
Corporate Credit Risk
Companies are exposed to significant levels of credit risk emanating from different sources
Accounts Receivables Other Notes Receivables Buyer and Franchise Financing With Recourse Financing
Credit Risk Management
Enhancing Your Bottom Line
The AFP 23rd Annual Conference New Orleans November 3-6, 2002
Ebrahim Shabudin Managing Director Deloitte & Touche LLP
Credit Background
Thorough identification and accurate measurement of credit risk, supported by strong risk management can help improve the bottom line …..An uncertain and volatile economic environment significantly impacts this ability …..The desire to grow and turn in outstanding results has a tendency to put pressure on the checks and balances within businesses
Value Proposition
Credit plays a critical role in “selling” products and services
– Expands revenue opportunities with creditworthy, incremental customers – Utilizes innovative structures to support business relationships Effective credit risk management limits credit losses and provides stable cash flows and earnings – Marketplace rewards companies exhibiting earnings and cash flow stability with higher P/E multiples – Marketplace penalizes credit induced volatility and “surprises” Raises questions about quality of management
Байду номын сангаас
Credit as a Facilitator
Credit risk management is important
– Credit is a facilitator of business growth and performance – High business margins tend to attract lower quality clients and therefore higher risk profile to manage – Clients (buyers) may be concentrated in selected industries and provide limited portfolio diversification opportunity – Poor credit risk management resulting in negative impact to bottom-line is heavily penalized by markets
*
Company A $295,396,000 $261,201,000 124*
Peer Average
51.3 D Cash
51.3 $261,201,000 $122,002,230
+$173,393,770
Equals 295.4M/261.2M x 90(or number of days in sales period)