Loan Loss Forecasting and Provisioning

“in'Loan Loss Forecasting & Provisioning provides pre-configured & extensive computations that enable institutions to effectively forecast credit losses under multiple scenarios and compute required provisions.”

in'Loan Loss Forecasting and Provisioning

VALOORES financial services' in' Loan Loss Forecasting and Provisioning performs major tasks required by IFRS 9 based on variety of parameters (Macroeconomic, KYC,Credit Scoring...) processed by automated forecasting and rules engines.

Overview

Global financial services institutions need to accurately forecast credit losses and create provisions for such losses in accordance with rules specified under IAS/IFRS. Basel III & require institutions to forecast credit losses under baseline and multiple adverse scenarios as part of the capital management process. VALOORES in' Loan Loss Forecasting & Provisioning provides pre-configured & extensive computations that enable institutions to effectively forecast credit losses under multiple scenarios and compute required provisions.

KEY BENEFITS

  • Comply with new and emerging regulations such as BCBS 239, Dodd-Frank and IFRS 9
  • Enable strategic capital decisions using a single consistent suite of applications
  • Adopt counter-cyclical methods for loan loss provisioning
  • Assess risk for a portfolio across multiple parameters
  • Enable multi jurisdiction reporting
  • Improve capital management and strategic planning
  • Provide key metrics to stakeholders
  • Granular level metrics for detailed analysis

KEY FEATURES

  • Credit loss forecast under baseline and stress scenarios
  • Pre-configured counter-cyclical methods for provision calculation
  • Transition matrix estimation using advanced statistical methods
  • Built-in cash flow engine
  • Exhaustive coverage
  • Estimation of Amortized Cost
  • Comprehensive stress testing capabilities
  • User-defined parameters
  • Preconfigured reports and dashboards