Credit Risk Analysis - A tryst with strategic prudence

Half Title
Title Page
Copyright
Dedication
Preface
Author’s Profile
Contents
PART 1 BASICS OF CREDIT RISK
	CHAPTER 1 INTRODUCTION TO CREDIT
		1.1 Meaning of Credit
		1.2 Credit Loss
		1.3 Role Of Credit
		1.4 Credit Market
		1.5 Credit—Analogous to Fire
		1.6 Suppliers of Credit
	CHAPTER 2 CREDIT RISK
		2.1 Meaning of Credit Risk
		2.2 Causes of Credit Risk
		2.3 Credit Risk and Return
		2.4 Credit Risk Analysis
		2.5 Historical Progress of Credit Risk Analysis
		2.6 Need for Credit Risk Analysis
	CHAPTER 3 MANAGING CREDIT RISK
		3.1 Strategic Position Of Credit Risk Management
		3.2 Credit Risk Management Context
		3.3 Credit Risk Management Objectives
		3.4 Credit Risk Management Structure
		3.5 Credit Risk Culture
		3.6 Credit Risk Management in Non-Financial Firms
		3.7 Credit Risk Management in Financial Intermediaries
PART 2 FIRM CREDIT RISK
	CHAPTER 4 FUNDAMENTAL FIRM-LEVEL RISKS
		4.1 Firm Risk Classification
		4.2 Risk Matrix
		4.3 Different Risk Levels
		4.4 Migration
	CHAPTER 5 EXTERNAL RISKS
		5.1 Business Cycle
		5.2 Economic Conditions
		5.3 Inflation/Deflation
		5.4 Balance of Payments & Exchange Rates
		5.5 Political
		5.6 Fiscal Policy
		5.7 Monetary Policy
		5.8 Demographic Factors
		5.9 Regulatory Framework
		5.10 Technology
		5.11 Union Involvement
		5.l2 International Developments
	CHAPTER 6 INDUSTRY RISKS
		6.1 Types of Industry Risks
		6.2 Defining an Industry
		6.3 Industry Life Cycle
		6.4 Permanence of Industry
		6.5 Government Attitude & Industry
		6.6 Factors of Production
		6.7 Business Cycles
		6.8 Industry Profitability
		6.9 Competitor Analysis
		Illustration
	CHAPTER 7 INTERNAL RISKS
		7.1 Understanding the Activity
		7.2 Risk Context & Management
		7.3 Risk Identification Steps
		7.4 SWOT Analysis
		7.5 Strategy Analysis
		7.6 Pitfalls in Strategy
		7.7 Management Analysis
		7.9 Other Internal Risks
	CHAPTER 8 FINANCIAL RISKS
		8.1 Importance of Financial Statements
		8.2 Quantity of Financial Statements
		8.3 Financial Analysis
		8.4 Analytical Tools
		8.5 Financial Leverage Ratios
		8.6 Operational Ratios
		8.7 Encapsulated Ratios
		Illustration
	CHAPTER 9 INTEGRATED VIEW OF RISKS
		9.1 Relevance of Integrated View
		9.2 Judgment
		9.3 Identifying Significant EIIF Risks
		9.4 Risk Mitigants
		9.5 Types of Mitigants
		9.6 Principles to be borne in mind while selecting Mitigants
		9.7 Monitoring of Credit Risk
		9.8 Credit Rating
		9.9 Five Cs and EIIF Models
		Illustration: Credit Risks And Possible Mitigants
PART 3 CREDIT RISKS—PROJECT & WORKING CAPITAL
	CHAPTER 10 CREDIT RISKS IN PROJECT FINANCE
		10.1 Distinction of Project Finance
		10.2 Types of Project Finance
		10.3 Reasons for Project Finance
		10.4 Parties Involved in Project Finance
		10.5 Phases of Project Credit Risks
		10.6 Project Credit Risks
		10.7 Financial Study
		10.8 Risk Mitigants
		Illustration
	CHAPTER 11 CREDIT RISKS IN WORKING CAPITAL
		11.1 Definition of Working Capital
		11.2 Working Capital Cycle
		11.3 Difference of Working Capital from Fixed Capital
		11.4 Working Capital Behavior and Volume Changes
		11.5 Working Capital Behaviour and Changes in Trade Terms
		11.6 Working Capital & Cash Flows
		11.7 Long-Term Contribution towards WC or (NWC)
		11.8 Working Capital Ratios
		11.9 Working Capital Risks
		11.10 Impact of W/C Risks
		11.11 Risk Mitigants
		11.12 Working Capital Financing
		Illustration
PART 4 CREDIT PORTFOLIO RISKS
	CHAPTER 12 INTRODUCTION TO CREDIT PORTFOLIO RISKS
		12.1 Criticality of Portfolio Credit Risks
		12.2 Benefits of Portfolio Credit Risk Study
		12.3 Credit Portfolio Vs Equity Portfolio
		12.4 Credit Portfolio Risk Vs Return
		12.5 Portfolio Representation
	CHAPTER 13 CREDIT RISK AND BASEL ACCORDS
		13.1 What is Basel Committee?
		13.2 1988 Basel Accord
		13.3 Basel 2 (New) Accord
		13.4 Basel Accords and Credit Portfolio
	CHAPTER 14 PORTFOLIO CREDIT RISKS
		14.1 Systematic Risk
		14.2 Diversifiable Risk
	CHAPTER 15 INTERACTION OF FIRM RISKS AND PORTFOLIO RISKS
		15.1 Firm Credit Risks & Portfolio Credit Risks in Daily Life
		15.2 Decline and Fall of Credit Assets
		15.3 Impact of Portfolio Credit Risks
		15.4 Portfolio Provisioning
		15.5 Managing of Firm & Portfolio Credit Risks Vs Organizational Conflict
	CHAPTER 16 PORTFOLIO CREDIT RISK MITIGANTS
		16.1 Traditional Diversification
		16.2 Scientific Diversification of Credit Portfolio
		16.3 Credit Derivatives
		16.4 Value @ Risk
		16.5 Buying and Selling of Credit Assets
PART 5: CREDIT PRICING
	CHAPTER 17 PRICING BASICS
		17.1 Credit Pricing in Non Financial Institutions
		17.2 Credit Pricing in Financial Institutions
		17.3 Pricing Structure
		17.4 Credit Risk Vs Return
		17.5 Other Factors to be considered while Pricing A Credit
		17.6 Usual Methods of charging Interest
		17.7 Credit Risk Pricing Model
		Illustration
	CHAPTER 18 PRICING METHODS
		18.1 RORAC Based Pricing
		18.2 Price Determination Based on Market
		18.3 Economic Profit Based Pricing
		18.4 Cost Plus Pricing
		18.5 Structured Pricing
		18.6 Grid Pricing
		18.7 Net Present Value (NPV) Pricing
		18.8 RANPV (Risk Adjusted NPV) Pricing
PART 6 THE LAST LINE OF DEFENCE—SECURITY
	CHAPTER 19 SECURITY BASICS
		19.1 Need For Security
		19.2 Merits and Demerits of a Security
		19.3 Attributes of a Good Security
		19.4 Security and Pricing
		19.5 Covenants as Security
		19.6 Security Value and Systematic & Unsystematic Risks
		19.7 Credit Risk Grade and Recovery Rates
	CHAPTER 20 TANGIBLE AND INTANGIBLE SECURITY
		20.1 Tangible Security
		20.2 Intangible Security
		20.3 Methods of taking Security
		20.4 Realizing Security
APPENDIX A
APPENDIX B
BIBLIOGRAPHY
INDEX