Credit Risk
262 white papers and resources
Risk Library provides a number of credit risk white papers, industry reports and opinions, which can be used to aid the decision making process and to reduce your organisations credit risk exposure. Credit risk is the type of risk that a lender assumes. As a form of compensation for taking on the risk, a lender receives interest repayments at an agreed upon rate. However, if a borrower defaults on agreed repayments, lenders may lose the partial or full sum and interest of the loan. This could result in the lender incurring further costs such as collection of debt owed and disruption to cash flow.
Avoiding Collateral Surprises: Managing Multi-Currency CSAs and Cheapest-to-Deliver (CTD) Curve Construction
This article explores the embedded optionality of multi-currency CSAs and the related challenges financial practitioners are facing in terms of collateral management and optimization.
Collateral Discounting: Rethinking the Interest Rate Pricing Framework from its Basic Concepts
This article examines how a swap portfolio’s value differs under the single and multi-curve approaches at four different snapshots in time―including pre-crisis, at the height of the crisis, post-crisis and today.
Hedging CVA and DVA
This paper illustrates the challenges and complexities financial institutions face in hedging Credit Valuation Adjustment (CVA) and Debit Valuation Adjustment (DVA) in the present market and regulatory environment.
Delivering the front office of the future, today
If you are a C-level executive or heading up a trading function in a bank,you will be facing enormous challenges and opportunities in this post-financial crisis era.
Don’t get left behind – how financial services need to consider their IT infrastructure
The global credit crisis exposed the weaknesses inherent in the risk management and IT infrastructures employed by banks. Learn how these weaknesses can be overcome to increase competitiveness and reduce risks.
Achieving Basel III compliance – How to tackle IT and business issues
Since its introduction the banking industry has had to make significant changes in order to meet Basel III’s strict set of requirements. This white paper reviews capital, risk management and technological challenges that the banking industry is facing in order to become Basel III compliant.
Margin lending: a brief introduction
Margin lending has given individuals and corporate borrowers the opportunity to finance investments with the use of asset backed portfolios. This white paper analyses the structure of margin lending and its various risks.
Using market and credit risk analytics to strengthen performance
The global credit crisis of 2007 caused extreme volatility within the financial system and exposed weaknesses within risk management practices. This white paper reviews the various steps banks are taking to improve their risk management techniques, looking at the benefits and pitfalls of each.
Consumer credit - getting ready for the new regulator
The government recently decided to transfer regulatory responsibility of consumer credit and second charge mortgages from the Office of Fair Trading (OFT) to the Financial Conduct Authority (FCA). This white paper analyses this decision and sets out an anticipated time-line for transfer.
High Growth Segment: New market now open
A recent announcement by the London Stock Exchange has ensured that the UK becomes a more attractive listing destination for fast-growing companies. This white paper reviews this announcement and analyses the rules that companies need to adhere to gain trading admission.