FORECAST. Credit risk

Software package "FORECAST. The credit risk" provides a full information and analytical support of the procedure of financial analysis of partners, assignments of internal credit ratings, assessment of probabilities of a default and value of a limit on transaction with partners.

Tasks

• maintaining the file of partners with a possibility of storage of different analytical information;
• batch processing of the partners given to financial statements and formation of the single database of the reporting with a possibility of simultaneous operation of different users / divisions;
• maintaining computable and expert indicators;
• quality evaluation of classification of model on the basis of curve Jeanie's (ROC curve) creation and assessment of coefficient of Jeanie;
• assessment of internal ratings of partners by means of determination risk classes, the analysis of transactions of the client (including assessment of value of the obligations of the partner subject to credit risk (EAD), a loss estimate in case of a default of the borrower (LGD) and also the probability of a default of the partner (PD) and credit risk of the transaction);
• "IRB modeling" (creation of models of internal ratings on the basis of econometric models, automatic calculation of coefficients of risk factors);
• analysis of shareholders, beneficiaries and subsidiary companies, analysis of the reporting of the connected partners;
• formation of the consolidated statements;
• formation of analytical notes about a financial status of the borrower;
• calculation of reserves on possible losses according to different techniques;
• integration into the core banking system and CRM.

Advantages

• significant savings of time of data processing of the reporting as a result of significant decrease in the labor costs connected with loading, check, aggregation and transformation of data of the reporting;
• formation of reasonable estimates of the risks accepted by bank based on comprehensive assessment of a financial status of partners using their financial statements, data of the stock market, ratings and other information;
• the decrease in the financial losses arising owing to non-execution by the partner of the obligations, reached as a result of careful assessment of an ultimate debt load and limits of credit risk on the partner;
• improvement of the procedure of risk management as a result of formation of a system of internal credit ratings according to the recommendations of Basel committee about risks;
• significant reliability augmentation of risks assessment owing to unification of process and decrease in operational risks;
• quality improvement and efficiency of providing analytical materials about the level of credit risk.