CreditManager

Providing institutions sophisticated risk and economic capital management techniques and tools to manage increased credit risk

With RiskMetrics CreditMetrics methodology at its foundation, CreditManager helps institutions measure, analyze and manage portfolio risk due to credit events. Risk managers are able to quantify overall credit risk by capturing market exposures, rating changes and default risks within Value-at-Risk and expected shortfall frameworks.

CreditManager consolidates and compares risk and opportunities across the entire credit business: bonds, credit derivatives, traditional lending such as commitments and letters of credits, and retail. Its cutting-edge analytics, speed and distribution capabilities enable communication of positions, opportunities, risks, and limits across businesses and between risk takers and risk monitors and helps institution with their Basel II compliance.

CreditManager provides economic capital and risk analysis at multiple levels of granularity. Application capabilities include:

• Determination of the institution's total capital (or risk) usage
• Allocation of capital to individual business lines, portfolio managers, obligors, regions, industry sectors and exposures
• Assessment of profitability of product types or individual exposures
• Identification of significant risk concentrations or inefficient uses of capital
• Evaluation of potential hedging or investment strategies to optimize return
• Tools include:
  • What-if analysis
  • Stress testing
  • CreditManager reporting capabilities
  • Market data