TOOL G4
This tool provides a framework for identifying and setting appropriate internal triggers when designing a dynamic monitoring plan at the time of the credit proposal & decision.
Client Risk Profile – Early Warning Signals
Non-Financial
| Monitoring Factor | Risk | Mitigant | Risk Trigger | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|---|---|---|
| Industry specific Business driver Events |
Financial
| Monitoring Factor | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|
| Industry specific Business driver Events |
Financial Markets
| Monitoring Factor | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|
| MKMV EDFs Share price Bond spread CDS pricing Secondary loan pricing Rating agencies |
Internal
| Monitoring Factor | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|
| Treasury behaviour Account behaviour Relationship issues Business support problems |
Structure risk
| Monitoring Factor | Risk | Risk Trigger | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|---|---|
| Collateral Non-financial covenants Stakeholder pressures Dilution |
Information/ Action required by Client
| Detail | Trigger Point | Monitoring Frequency | Monitoring Responsibility |
|---|---|---|---|
| 9. 10. 11. |