Credit Analysis for Bank Loan Decision Making

 

Teaching Hours and Credit Allocation:	16 hours, 4 credits
Course Assessment:	Coursework

 

Aims

The aim of this course is to learn how financial and cash flow analysis tools can aid in credit decisions and in applying credit analysis techniques/models (e.g. logistic regression) to determine the firm´s probability of default and thus evaluate the firm’s riskiness.

 

Learning Outcomes

By the end of this course you should be able to:

• Learn how financial and cash flow analysis tools can aid you in credit decisions
• Apply credit analysis techniques/models (e.g., logistic regression) to determine the firm´s probability of default and thus evaluate the firm’s riskiness
• Learn how to tie risk management, credit and financial analysis to Basel Accord
• Understand how daily actions can reduce or mitigate credit risk, market risk and operational risk
• Understand need, usefulness and major components of the Basel II & III Accord
• Learn how to tie credit analysis to the software applied by financial institutions for credit analysis purposes (Moodys Credit Scoring Model)

 

Content

• Emphasis on real world issues related to the credit & financial analysis, risk management and Basel II & III Accords
• Learning experiences from recent bankruptcies worldwide (e.g. Lehman Brothers, GM etc)
• Application of specially designed financial/credit analysis software to Greek/ international firms / bank clients
• Application of credit analysis software techniques (e.g., logistic regression analysis) to real firms to determine the firm´s riskiness
• Basel II & III Accord and credit analysis