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.
Recalibration machine
A revolution is under way in the market of contingent claims, the consequences of which are yet to be learned. Trilemma, a new technology vendor, addresses the shift in the pricing of these claims from a probability theory to a recalibration machine. It compares this shift to the scientific…
Risk Model Validation
Senior management are expected to make crucial business decisions using complex risk models. Controversial discussions concerning the use of risk models during the financial crisis, and the new regulatory framework, have highlighted the need for a consistent approach, and the dangers that exist.
Counterparty credit risk in portfolio risk management
Prominent financial institution failures reminded market participants that over-the-counter derivatives bring counterparty credit risk. UBS Delta is providing tools for clients to measure counterparty exposure alongside other investment risk.
BNY Mellon – focusing clients on their core activities
Never has the need for efficient management around over-the-counter derivatives business been more crucial, or such a focus, as it is today. BNY Mellon discusses how, with its collateral management services, it has helped clients achieve greater operational efficiency.
Finding Safe Harbour
As regional banks cautiously develop currency markets and sovereign risk threatens global market stability, Société Générale explains why going back to basics is a sound strategy.
Transformational change
BNY Mellon this year launched Derivatives Collateral Net (DCN), a unique netting service for derivatives collateral management. Scott Linden and Mark Robinson of BNY Mellon talk about how they see it transforming the industry.
Quantifying the qualitative – striking a balance
Sponsored by Credit Risk Management and chaired by Risk, a panel of industry professionals convened to discuss the dynamic between banks and capital markets, particularly on the issues of raising capital and the nature of credit analysis, in the current commercial credit risk management environment.
Using collateral management to address credit risk issues
Omgeo outlines the challenges being faced by collateral managers since the collapse of Lehman Brothers 12 months ago, and how these challenges to standardisation and automation can bring the collateralising community together.
Credit Charging in the Trading Book
In this white paper, SunGard examines the scope of credit charging in the trading book, as well as the long term business and technological implications of the increased reliance on such a charge.
Wrong Way Risk
Dan Travers and Jean-Marc Schwob explain how a credit risk system that combines numerical analysis with risk sensitivities can help risk managers to detect ‘wrong-way risk’ and highlight potential hot spots in their credit portfolios.