Credit Analysis for Bank Loan Decision Making
|Teaching Hours and Credit Allocation:
||30 Hours, 6 Credits
||Coursework & Exam
The aim of this course is to learn how financial and cash flow analysis tools can aid in credit decisions and in applying credit analysis techniques/models (e.g., logistic regression) to determine the firm´s probability of default and thus evaluate the firm’s riskiness.
- To learn how financial and cash flow analysis tools can aid you in credit decisions
- To be able to apply credit analysis techniques/models (e.g., logistic regression) to determine the firm´s probability of default and thus evaluate the firm’s riskiness
- To learn how to tie risk management, credit and financial analysis to the Basel Accord
- To understand how daily actions can reduce or mitigate credit risk, market risk and operational risk
- To understand need, usefulness and major components of the Basel II & III Accord
- To learn how to tie credit analysis to the software applied by financial institutions for credit analysis purposes (Moodys Credit Scoring Model).
- Mission and Learning objectives of Risk Management
- Risk management and value creation via the Strategic Success Framework (SSF)
- Credit Analysis and Bankruptcy Prediction
- Designing credit scoring models using real data
- Credit Analysis and Credit Rating Agencies
- What actions should be taken by banks to mitigate credit risk?
- The risk adjusted return on capital approach (RAROC)
- Basel Accord, Credit Analysis and Governance
- Bank’s capital (in)adequacy and credit analysis
- Credit risk management and liquidity risk