Already registered for a product? Login here |
|
|
Experian offers a complete, flexible retail banking solution for institutions complying with the New Basel Capital Accord (Basel II) Advanced Internal Ratings Based (A-IRB) approach. Our advanced consulting, scoring and software solutions allow banks to meet Basel II requirements for credit risk.
Data managementThe A-IRB approach requires significantly increased data capture and retention procedures. Our software and scoring solutions allow organizations to estimate, implement and report on risk inputs of Probability of Default, Loss Given Default, and Exposure at Default.
Save time and moneyFor many institutions, developing comprehensive solutions in-house can be cost prohibitive, both in terms of money, resources and time investment. Outsourcing time sensitive analysis and model development and utilizing specialized software solutions from Experian can make the challenge achievable, timely, manageable and cost effective.
Prepare for market disclosureMarket disclosure is one of the three pillars of Basel II; therefore, analysts and capital markets will increasingly demand that banks improve risk management practices and provide information to investors and others related to the quality of the banks' assets. Our software provides the monitoring and reporting functionality required to ensure transparency and disclosure.
Achieve profitability through complianceEvolution in risk measurement systems is necessary to determine a bank's true risk and to make investment decisions. The more accurate a bank's measurement of actual portfolio risk, the more likely regulators will be to allow the bank to utilize internal ratings for assessing the amount of capital needed to hold against that risk. According to the results of the third quantitative impact study of Basel II, many banks could experience a reduction in their risk weighted assets, and the capital they must hold, by as much as 40%. A reduction in risk-weighted assets can free capital for investment. As banks commonly require a 16% return on equity, the opportunity cost of not fully investing capital can be substantial.
|
Features |
|
Comprehensive consultingOur expert consultants will review data and processes within credit risk to provide a gap analysis of the "distance to travel" between current practice and that required for A-IRB status. We will also use our knowledge of best practice risk management to recommend enhancements to your current operations.
Advanced decisioning softwareOur market leading decision support software, Strategy Management, stores the data needed to support Basel II implementation and to provide the basis for ongoing monitoring and validation. The Regulatory Capital Engine, a module of Strategy Management specifically designed for Basel II, provides ultimate flexibility in defining and implementing business strategies and managing decisions at every step in the customer lifecycle. It brings together the latest risk input techniques, segmentation, portfolio analysis, strategy experimentation, simulation, optimization and strategic consultancy.
Sophisticated scoring modelsWe offer generic bureau scoring models for Probability of Default and Exposure at Default and the development of customized scoring models for Probability of Default, Loss Given Default and Exposure at Default.
Flexible delivery optionsOur Basel II solution modules can be used singularly or custom-packaged to satisfy the needs of large and small banks. In addition, our solutions are available as either an in-house delivery or a managed service. You may wish to host solutions within your own infrastructure. For this option, we have dedicated support teams that will ensure the smooth implementation and ongoing maintenance of the solutions in your environment. Alternatively, we offer a hosted service if you are looking to outsource elements of your business to specialized providers.
For more information on this product, contact us at 888 414 1120.
|
|
For more information, please contact us at 888 414 1120.
|
Industry Solutions
Credit Solutions
