Effective Credit Risk Analysis
This course reduces risk to the bank by providing the education that lenders, credit officers, underwriters and credit analysts to determine the best risk management practice in any lending situation
INTRODUCTION
The perception of risk management is changing in today’s institutions. Instead of being viewed merely as a control mechanism, it now forms the basis of every transaction at financial institutions. Credit risk is by far the most significant risk faced by a bank, and judging by the global financial crisis, it also the most complex. Banks now need to assess every transaction in terms of the increase in risk to the institution, with the assurance that the pricing of the credit transaction will generate a suitable return. Such a risk culture is enforced by the latest updates of the Basel Accords, which requires banks to allocate regulatory capital against the major components of risk using regulatory internal models. This becomes increasingly more complicated in the case of SME’s, as proper due diligence and strict adherence to policy is required to ensure adequate risk measures.
WHY THIS IN-HOUSE TRAINING IS CRUCIAL FOR YOUR ORGANISATION
This training course is designed to introduce participants to the origins, nature and types of credit risk structures that are typical in financial markets. Beginning with the identification and definition of credit risk, this course will survey the methods and global best practices that are used to quantify and measure credit risks. This course would also cover the issues of re-payment of loans, specifically in the case of SME’s.
KEY BENEF ITS & LEA RNING OUTCOMES
• Understanding the fundamentals of credit risk management to increase overall profitability
• Making the right decisions through proper credit risk portfolio management
• Establishing an appropriate credit risk environment
• Operating under sound credit granting process
• Capturing the understanding of credit administration, measurement and management