Docstoc

Review the information risk management: risk monitoring of key indicators of risk monitoring

Document Sample
Review the information risk management: risk monitoring of key indicators of risk monitoring Powered By Docstoc
					Review the information risk management: risk monitoring of key indicators of risk
monitoring

 risk monitoring key indicators of loans

  risk monitoring index system typically include indicators of potential targets and
revealed two major categories, the former is mainly used on signs of potential factors
or quantitative analysis of information, which is used to show status information
factors or quantitative.
  China Banking Regulatory Commission on the former state-owned commercial
banks and joint-stock commercial banks in accordance with the seven indicators to
assess three broad categories, specific types of indicators, including performance,
asset quality and prudent management class class indicators index.
  key indicator of quality of the assets include the following:
  1. Non-performing assets / loans ratio
  non-performing loan ratio = (sub-class of doubtful loans + loans + loss of class
credit) / loans × 100%
  2. expected loss rate
  = expected loss expected loss / asset exposure × 100%
  is the expected loss distribution of credit risk loss of mathematical expectation, on
behalf of the combination of a large number of loans or transactions within the
economic cycle, the average loss has been estimated that commercial banks will be
incurred. Expected Loss = PD × LGD × EAD, where, PD is the borrower's probability
of default, LGD for the LGD, EAD for the default risk exposure.
  3. Single (Group) customer credit concentration
  single (group) = the largest concentration of customers, a (Group) Customer loans /
net capital × 100%
  calculation of the index of the Currency caliber data. The largest one (group) Total
loans to customers is the highest end of the period of the loan balance, a (group) the
total amount of customer loans, customer loans refers to legal persons, other
economic organizations, individual businesses and natural persons, the bad credit loan
rate definition and the definition of indicators consistent with the definition of net
capital and capital adequacy indicators defined in the agreement.
  4. Credit risk migration
  class of indicators to measure the risk of migration of credit risk of commercial
banks, the extent of changes that the quality of assets to current changes from the
previous rate, is the dynamic index. Risk indicators, including normal credit
movement class migration rates and migration rates of non-performing loans.
  (1) migration rate of normal loans
  normal credit migration rate = (normal types of loans in the beginning to the amount
of bad loans + opening concerned about the types of loans to non-performing loans in
the amount) / (opening balance of the normal types of loans - beginning of the normal
class of the loan to reduce the amount of + opening concerned about the class of loans
- loans during the beginning of class to reduce the amount of attention) × 100%
 calculation of the target diameter of the foreign currency data. Beginning of the
normal class of loans to the amount of bad loans, is the beginning of the normal types
of loans, in the reporting period are classified as sub-classes, dubious category, the
balance of the loan loss category, and; beginning of class interest loans to the amount
of bad loans, is concerned about the types of loans in the beginning, in the reporting
period are classified as sub-classes, dubious category, the balance of the loan loss
category, and; beginning of the loan to reduce the amount of the normal class, is the
beginning of the normal class of loans during the reporting period, due to normal
recovery of loans, disposal of bad loans, or loans written off for reasons such as to
reduce the loan; opening concerns reducing the amount of the loan category, is
concerned about the types of loans in the beginning, during the reporting period, due
to the normal recovery of loans, disposal of non-performing loans or loans nuclear
reduced sales of loans and other reasons. Normal types of loans, interest type of loans
and the definition of bad loans and bad loan ratio consistent with the definition of
indicators.
 (2) migration rate of the normal types of loans
 normal category = beginning of the normal lending rate of movement for loans, the
amount of downward movement / (normal classes beginning loan balance - beginning
of the loan to reduce the amount of normal type) × 100%
 calculation of the target diameter of the foreign currency data. Beginning of the
normal types of loans down to the amount of movement, is the beginning of the
normal class of loans classified as interest in the reporting period class, sub class,
suspicious type, loss type, and loan balances. During the beginning of the normal
types of loans to reduce the amount of definition and normal lending rate of
movement consistent with the definition of indicators, the definition of the normal
types of loans and bad loan ratio consistent with the definition of indicators.
 (3) concern types of loans migration rate
 migration rate of interest loans of concern category = beginning amount of loans
down movement / (interest classes beginning loan balance - beginning of attention to
reduce the amount of the loan type) × 100%
 measurement of the target diameter of the foreign currency data. Concerned about
the types of loans beginning the amount of downward movement, is concerned about
the types of loans in the beginning, in the reporting period are classified as sub-classes,
dubious category, the balance of the loan losses and class. Concerned about the types
of loans during the beginning of the definition of normal loans to reduce the amount
of migration rates consistent with the definition of indicators, concerns the definition
of class and non-performing loans to loans ratio consistent with the definition of
indicators.
 (4) sub-types of loans migration rate
 sub-types of loans migration rate = Initial amount of sub-types of loans down
movement / (sub-class of the beginning loan balance - beginning of sub-classes to
reduce the amount of the loan ) × 100%
 calculation of the target diameter of the foreign currency data. Beginning of
sub-types of loans down to the amount of movement is defined as the beginning
sub-class of loans classified as doubtful in the reporting period class, the loss of the
loan balance and class. During the beginning to reduce the amount of sub-types of
loans, is the beginning of sub-class of loans during the reporting period, due to the
normal recovery of loans, disposal of bad loans, or loans written off for reasons such
as to reduce the loan. The definition of sub-types of loans and bad loan ratio
consistent with the definition of indicators.
 (5) doubtful loans
 migration rate of doubtful loans migration rate = Initial amount of doubtful loans
down movement / (beginning balance of doubtful loans - beginning of the period to
reduce the amount of doubtful loans) × 100%% D % A calculation of the index and
foreign currency-caliber data. Doubtful loans at the beginning the amount of
downward movement, is doubtful loans in the beginning, in the reporting period,
loans classified as loss of class balance. During the beginning to reduce the amount of
doubtful loans, doubtful loans is the beginning, in the reporting period, due to the
normal recovery of loans, disposal of bad loans, or loans written off for reasons such
as to reduce the loan. The definition of doubtful loans and bad loan ratio consistent
with the definition of indicators.
 5. Non-performing loans coverage
 provision for bad loans, provision coverage = (general preparation + prepare +
special preparations for the special) / (sub-class of doubtful loans + loans + loss of
class credit)% D % A 6. loan loss reserve adequacy ratio
 loan loss reserve adequacy ratio = loans actually drawn to prepare / loans should be
provided to prepare × 100%
 calculation of the target diameter of the foreign currency data. Loans actually drawn
to prepare a business bank loans under the provision for expected losses and the actual
preparation.
 big test edited / center>

				
DOCUMENT INFO