The International Standard in Credit Analysis

About the Course

The global financial crisis made abundantly evident the need for enhanced credit risk appraisal methods and higher awareness of credit risk. Poor credit analysis can potentially bring about the demise of banks and, more worrisomely, the demise of the entire economy. Additionally, the effects of incidents like COVID-19 show how unstable markets can be and how crucial banks are to funding the economy.

Looking at financial statements, business plans, and market/economic indicators, the delegates attending The International Standard in Credit Analysis training course will be equipped to analyse the company’s performance, manage credit risk, and create credit risk models based on reliable global risk management guidelines. Therefore, reducing risk is necessary to ensure ongoing profitability and maximise returns.

By helping the organisation reduce credit and market risk, the delegates will have a profound concept of projection and financial analysis skills, which will help create credit risk models. Boost earnings and create credit risk models that can evaluate risk more quickly, boosting customer response and improving service. Derivative products were found and sold to lower client risk exposure and lower bank risk exposure.

Core Objectives

Delegates will achieve the following objectives:

• Assess credit risk in accordance with international standards and stress tests
• Evaluate feasibility study & Financial performance
• Create computer-based models to assess and calculate credit risk
• Identify how risk be reduced by utilising collateral and a risk-based strategy
• Understand how credit portfolio will be managed

Training Approach

This training course is driven by a blended learning approach and draws on various adult learning techniques such as action learning, experiential exercises, group discussions, video case studies, role play and self-reflection activities. The resulting variety helps delegates stay engaged throughout the course, feel challenged and draw quick wins for their development. It also ensures delegates are exposed to ample opportunities to apply what they learn to the real-world challenges they face back in the workplace.

The Attendees

This training course will be valuable to professionals, including (but not limited to) the following:

• Real Estate Lending
• Corporate Credit Analysis
• Rating Company
• Risk Management
• Treasury
• Investment Officer
• Corporate Finance Manager

Daily Discussion

DAY ONE: CREDIT RISK FRAMEWORK

• Sources of Credit Risk
• The optimal mix between Risk and Return
• Credit Risk: Internal factors vs External Factors
• Formulating a complete Credit Risk Strategy
• Implementing Credit Policies
• Credit Risk Portfolio Management

DAY TWO: LENDING RATIONALE WITH RISK PERSPECTIVE

• Measuring New Finance Needs
• Different Lending Rational
• Long-term need Finance
• Short-term need Finance
• Measuring Risk by Cash Flow Analysis
• Contingent Finance Need: International Trade Finance

DAY THREE: MEASURING CREDIT RISK

• Non-financial Factors Credit Risk Analysis
• Deep understanding of Financial Statements
• Financial Factors Credit Risk Analysis
• Assessing Risk of Business Liquidation
• Calculating Credit Risk: Different levels of stress testing conditions

DAY FOUR: RISK EFFECT ON PRICING POLICY

• Building Credit Rating Systems
• Difference between Credit Risk Modelling and Credit Scoring
• Interaction between Risk level and Pricing
• Standardised Models of Pricing
• International Basle Regulations

DAY FIVE: CREDIT RISK MITIGATION

• Designing effective Facility Structuring
• Scanning early signs of Bad Debts
• Credit transfer Third party
• Matters of Collateral
• Non-Performing Loan Techniques