Offer ends in:
What you'll get
- 8+ Hours
- 3 Courses
- Course Completion Certificates
- One year access
- Self-paced Courses
- Technical Support
- Mobile App Access
- Case Studies
Synopsis
- This course covers important concepts including financial statement derivations, AltzMan Z Score Model
- Learn Mertons Model, Working Capital analysis, and UFCE modeling
- Users will also get to learn Way Out Analysis for IT firms, Evaluation Metric and how to give a final recommendation based on the overall analysis
- Learn UFCE Modelling, Working Capital Analysis and Financial Statement Analysis
Content
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MODULE 1: Essentials Training
Courses No. of Hours Certificates Details Credit Risk Modeling for Beginners 5h 46m ✔ Credit Risk Modeling 2h 41m ✔ Credit Risk Modeling & its Application in Banks 58m ✔
Description
About Credit Risk Modeling - Build Credit Risk Model from Scratch
Credit risk infers the possibility of a loss emerging from a borrower’s downfall to pay back a loan or meet contractual commitments. Conventionally, it pertains to the risk arising from lenders’ inability to return the owed interest and principal, impacting the cash flows and increasing assemblage costs.
When any lender extends loans such as mortgages, credit cards, or other similar loans, there is an avoidable risk that the borrower will not repay the loan amounts. Furthermore, if a company offers such credit to the customer, there’s the same risk that the customer will not pay back. It also incorporates other related risks, such as that the bond issuer may not make payment at the time of maturity and the risk occurring out of the incapacity of the insurance company to compensate for the claim. A higher level of credit risk in a profitable market will correlate with the elevated borrowing cost. Because of this, it is evaluated technically to mitigate such risk to a certain level.
This online course explains the methodologies of credit risk modelling for the IT sector and how it is important for IT firms. This course covers important concepts including financial statement derivations, AltzMan Z Score Model, Mertons Model, Working Capital analysis, and UFCE modeling. Users will also get to learn Way Out Analysis for IT firms, Evaluation Metric and how to give a final recommendation based on the overall analysis.
We will start with a brief introduction to measures of credit risk modeling. Understanding the credit risk and how it is being measured is important before we into the meat of the module. Then, we will talk about traditional credit models in length. And in the next section, we will give you practical examples of traditional credit models. In the same section, we will also talk about the structural model of credit risk. Since understanding the theory isn’t enough, we will also take an example of the structural model of credit risk. Next, we will teach you Altman Z-score. In this section, you will learn about Altman Z-score and how you can calculate the Z-score. Then, we will talk about the Z-score of the airline industry. And then, we will also take a practical example of the US airline industry and discuss the airline industry Z-score. Then, under the same section, we will talk about the credit rating description of the airlines. Now, we will directly go into credit analysis. Under credit analysis, you will learn credit modeling, the evaluation metric in credit modeling, and also the early warning checklist in credit modeling. Then, we will teach you UFCE and WC Credit Modeling. Next, we will look at the financial statement analysis (the income statement, the balance sheet, the cash flow statement) in detail. Finally, we will talk about ways out analysis and internal ratings. In the end, we will show you the reference files to end the module. You need to keep in mind that this training will work if you do the work.
Requirements
- Basic knowledge of finance & accounting
Target Audience
- Finance & Accounting Students: If you’re finance/accounting students, you can do this credit risk modeling course to learn a great skill well-in-advance. This course will help you learn the nitty-gritty of credit risk and it may help a great deal in finding out a job or do a consultation shortly.
- Finance professionals: If you’re a financial analyst or an investment banker, this course would be invaluable to you. This course will teach you how to create a complex credit risk model and how to assess it. Go ahead and do this credit risk modeling course and you would realize that these 3 hours are the best investment in your career.
Course Ratings
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Good presentation slides and examples have made me easily understand the point.
Yeap Niann Yeou
the course was designed in such a way that any layman can understand the concepts. The entire curriculum was comprehensive and insightful as it started off with the definition of credit risk followed by classifying them into various categories. The teacher was crisp and clear in the way he communicated and put forth his views.
Prasenjit Nandi
First of all, i really would like to thanks EDUCBA for providing such courses which maximize the chances of growth in the future. A person especially like me would like to thank a lot because i am in the credit department of the bank and it will literally help me in future as there are many things which i have learned here and were unknown to me.
ABHISHEK PATHAK
This is one of the Best learning i have heard ,the tutor goes into detail of every scenario in credit analysis and Modeling especially in the financial statements analysis this is offers great tutoring and gives very practical engagement of the process this is also a good tutor,i give congratulations to him for a very well put together presentation. Looking forward to learn more.
JOSHUA M WANJOHI