Management of Banking and Financial Services, 4e

CHAPTER EIGHT

Managing Credit Risk—An Overview

CHAPTER STRUCTURE

Section I Basic Concepts

Section II Measuring Credit Risk—Introduction to Some Popular Credit Risk Models

Section III Credit Risk Transfers – Securitization, Loan Sales, Covered Bonds and Credit Derivatives

Section IV Treatment of Credit Risk in India—Some Important Exposure Norms, Prudential Norms for Asset Classification, Income Recognition and Provisioning

Section V Treatment of Credit Risk in India—Securitization and Credit Derivatives

Chapter Summary

Test Your Understanding

Topics for Further Discussion

Annexures I, II, III (Case Study)

KEY TAKEAWAYS FROM THE CHAPTER

• Understand the concept of credit risk.
• Know how credit risk arises.
• Learn about credit risk mitigation techniques, ...