For banks and financial institutions a sea of changes has occurred in the past few years as a response to the credit crisis. A new capital adequacy framework, strengthened and specific credit risk regulations under Basel II / III, and recent innovations in the credit derivative arena are all highlighting the increasing scrutiny on credit issues. More than ever before, financial institutions and large corporates will therefore have to be able to assess, calculate and model the embedded credit risk of assets as well as the risk generated by the use of counterparties for hedging or trading purposes.

The need to determine economical capital for risk-return calculations according to Basel capital requirements has highlighted the importance of robust methodology to estimate key risk parameters (probability of default, exposure at default and loss given default) for both wholesale and retail portfolios. In this course, the implications of meeting economic objectives within regulatory constraints are explored in hands-on team exercises that will allow attendees to manage regulatory objectives whilst retaining their competitive edge. By the end of this intensive 2-day course bankers will be equipped with a ready-to-use framework that they can use and apply in their own firms.


  • Learn about various approaches of credit risk modelling
  • Recognise the data requirement for credit risk modelling
  • Know how to design various credit risk models
  • Learn about the regulatory requirement for credit risk modelling
  • Integrate credit risk modelling with pricing
  • Design simple models using spreadsheet
  • Comprehensive knowledge of Economic Capital (EC)
  • Capital is Context development
  • EC Measured by “Stress Testing” The economic Balance Sheet
  • Calculation of Economic Capital
  • Six Key methodological elements 
  • EC model design considerations – Risk Horizon


  • Credit Portfolio and Asset Heads and Managers
  • Auditors Heads and Managers
  • Risk Analysts
  • Credit Heads and Managers
  • Financial Industry Regulators
  • Financial Risk Managers
  • Loan Loss Reserve Estimation
  • Risk Model Validation

  • Credit Risk Models
  • Credit Risk Audit
  • Economic Capital
  • Basel Regulatory Capital
  • LG, PD, EAD Modeling
  • Portfolio Loan Management
  • Controllership
  • Internal Audit
  • Balance Sheet Management


“The training was very well organized. The content was very relevant to my role. The interactive discussion was encouraged and the trainer was also very knowledgeable of the subject matter. I would recommend this training to all who are involved at some stage of retail banking product development.”
“I would like to recommend the marketing teams as well for this training. It was indeed a time well spent and a memorable experience.”
“It was an extraordinary training methodology and a multidisciplinary approach, as well as a clear and strong content structure that focused on core Retail banking. The training methodology helped participants to realize a deeper knowledge of Product Management and Development.”

Our Upcoming Trainings

SME Banking Masterclass
SME Banking Masterclass
Asset & Liability Management
Asset & Liability Management
Digital Banking Leadership
Digital Banking Leadership
Product Management and Development for Retail Banks
Product Management and Development for Retail Banks

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