the Deviant Risks that KILL Businesses – Don’t do ‘a Volkswagen’
|Most physical business Board Risk Committees, Chief Risk
Officers, CEOs and business Owners only pay attention to assessing and
managing those risks for which data is available.
They follow the banking fraternity’s love affair with risk and
probability models, which naturally cannot be produced in the absence of
data. Of course that means
that when unimaginable risks occur they are totally unprepared to manage
the fallout, so they miss opportunities to limit the damage and/or
opportunities to capitalise on the resulting market turmoil.
Counterparty (CP) Credit Risk Reviews - Improving the Process is
‘Annual for every CP’ make sense?
timing and required depth of CP Credit Risk reviews each organisation
should adopt a policy appropriate to its particular circumstances.
This article highlights some alternative policy approaches in
order to provide ideas to be considered by policy makers.
Payment Obligations (BPOs) – Basics for Corporate's
you are a Seller or Buyer of goods this article provides the basic
information you need in order to start replacing Standby Letters of
Credit and/or Documentary Letters of Credit (LCs) with the BPO or
BPO-Plus process respectively.
BPO & Friends have a Stranglehold on the LC and will soon finally
lay it to rest…
business that accepts Standby Letters of Credit as collateral cover
(security) for its sales transactions should switch to requiring Bank
Payment Obligations (BPOs).
The BPO-Plus (BPO & Friends) will gradually but inexorably replace
transaction related Documentary LCs over the next five years or less.
The considerable rewards intrinsic to using BPO and electronic
documents in combination are available to every trading partnership
today; you should be benefiting.
Future Commodity Price Risk Can Damage a Company’s Liquidity
future commodity price risk could
damage a company’s liquidity and/or its competitive position.
Email Ron Wells to obtain a copy of the Chinese
version of the article.
|Emissions Credits Trading
||Brief summary of the market
complexities and credit management aspects of Emissions Credits Trading
Black Swan Concept
||Considering what this concept means to the
Credit Risk Management profession
|Future Credit Organisation
||Developing scenarios describing how international credit
management may function in the future.
||A new method to secure international trade transactions,
safe-guarding buyer and seller.
||Facilitating electronic Documentary Credits (eDC) and
electronic document management.
(Standard Chartered Bank)
|Facilitating electronic trade document management.
|Trade Credit ScoreCard
& Limit Model
|A standardised methodology for credit analysis, credit
assessment and trade credit limit calculation.
|Bank Risk ScoreCard & Limit Model
||A standardised methodology for determining bank limits for
the acceptance of Documentary Credits and/or bank guarantees, without
including Bankruptcy Swaps
|A vehicle for buying or selling bankruptcy protection.
That is, the facilitation of 'payment risk' trading.
of Accounts Receivable
|Methods available to maximise the A/R asset, and the development of tools to fill any gaps identified.
|Brent Crude Futures, 21Day BFOs & Exchanges of Futures
for Physicals (EFPs)
||These contracts are actively traded and related published
prices used to set the cost of over 65% of crude oil in the world.
However the jargon, processes and related credit risk implications are
not well documented.
|Forensic Cash Flow Analysis™
||Developing a one day course for graduates and practicing
|Bolero.net & SURF
||Replacing paper documents with electronic records, in a
form acceptable in Court.