RISK RATING VALIDATION
Clients trust SSA's loan review expertise, including the ability to quickly assess a loan portfolio’s quality and embedded risks, and their ability to deliver calculated risk ratings and recommendations.
- Reserve methodology validation
- Default/loss assessment
- Downside stress testing
Risk Rating & Reserve Methodology Validation
Risk Rating - Internally developed and transaction tested re-underwriting process of bank loans to verify risk ratings and to ensure proper mapping with bank credit policy standards.
Reserve Methodology Validation - review existing loan loss reserve methodology by asset class and evaluate for conformance with regulatory guidelines.
probability of default
Default/Loss Assessment - estimate probability of default or loss post-review (12/24/36 months) by loan portfolio or individual loan through due diligence of borrower, collateral review and current market conditions.
portfolio stress testing
Downside Stress Testing - provide risk migration or stress analysis to estimate potential future risk exposure. Analysis completed to determine severity of a downside scenario on portfolio performance, while establishing proactive measures to ensure best possible outcome.