Bank Policy Institute: Goldilocks and the Fourth Way: Assessing Credit Risk for Capital Purpose


A recent blog post from the Bank Policy Institute highlights Credit Benchmark as a way to help financial institutions better assess credit risk for capital purposes.

The post explores how the data “leverages private sector innovation and resources; allows for prompt adjustments to adapt to new risks or new data; prevents any possibility of cheating; and expands the universe of companies that can be fairly evaluated.”

View original article (external link).


Follow us on:

Credit Benchmark brings together internal credit risk views from over 40 leading global financial institutions. The contributions are anonymized, aggregated, and published in the form of consensus ratings and aggregate analytics to provide an independent, real-world perspective of credit risk. Risk and investment professionals at banks, insurance companies, asset managers and other financial firms use the data for insights into the unrated, monitoring and alerting within their portfolios, benchmarking, assessing and analyzing trends, and fulfilling regulatory requirements and capital.