360

international

BEST PRACTICES IN
CREDIT RISK
ANALYSIS
for Financial Institutions,
Lenders, and Corporations

19 - 20 MARCH 2014
RADISSON BLU
DUBAI DEIRA CREEK
UNITED ARAB EMIRATES

FINANCE SERIES

WHY YOU CANNOT MISS THIS EVENT

YOUR INTERNATIONAL
COURSE FACILITATOR

Since the recent financial crisis, credit risk has been a top concern of
non-financial and financial companies globally. Companies are focusing more
than ever on the fundamentals of credit risk analysis and management.

Betty J. Simkins, Ph.D.

This course covers best practices in credit risk analysis to prepare executives
for today and the future. The focus will be on analyzing the credit risk of
non-financial companies to assist in risk analysis for both counter-party and
lending decisions. Content will be presented at the introductory and intermediate levels.

Professor of Finance
Oklahoma State University

This course is aimed at individuals who would like to acquire a solid foundation of credit risk analysis skills and/or those who simply need a refresher of
their existing skills.
Throughout the course, best practices will be taught in each segment and
a lot of case studies will be utilized so that participants can apply
concepts learned to real case analysis.
Key benefits from attending this course:
Learn best practices in credit risk analysis to prepare your company for today
and the future
Gain an understanding of the fundamentals of credit risk analysis and credit
ratings
Apply leading techniques in credit default risk analysis to conduct analysis
for both counterparty and lending decisions
Understand pitfalls and misuses in credit risk measures to prevent mistakes
in your analysis
Understand the latest quantitative credit risk methodologies
Be able to apply new approaches to measuring credit risk

Dr. Simkins interest and involvement with her conference attendees is quite
evident. As an industry professional, it is clear that she desires to impact new,
cutting-edge information to her students.
- Williams Companies
Most teachers are passionate about what they teach: however, Dr. Simkins
has raised the bar for her peers by bringing the real world into the classroom.
- Ernst & Young, Inc.

PROFILE
Betty J. Simkins, Ph.D., is the Williams Companies
Professor of Business and Professor of Finance at
Oklahoma State Universitys (OSU) Spears School of
Business. She has a B.S. Degree in Chemical Engineering
and a MBA and received her Ph.D. from Case Western
Reserve University. She has worked in the energy
industry for ConocoPhillips and Williams Companies,
Inc., among others, and consults and conducts
executive education courses for companies globally.
Dr. Simkins is very active in professional organizations
and frequently speaks at professional conferences
around the world. She currently serves on the Board of
Directors for the Financial Management Association
and the Eastern Finance Association (EFA) and was past
president of the EFA. She is co-editor of the Journal of
Applied Finance and on the editorial boards of many
other leading journals.
In addition, she has published more than 50 articles in
leading journals and has won a number of best research
paper awards for her work. Her current research focuses
on the oil and natural gas industries, bankruptcy risk,
futures markets, and strategic risk management and
hedging. Dr. Simkins also loves teaching as evidenced
by the five teaching awards received at OSU including
the top award, the Regents Distinguished Teaching
Award.
Dr. Simkins has a new book titled Energy Finance and
Economics: Analysis and Valuation, Risk Management,
and the Future of Energy that was published by John
Wiley & Sons in February 2013 and she co-edited
Enterprise Risk Management: Todays Leading Research
and Best Practices for Tomorrows Executives in 2010.
She is currently working on a new book, Case Studies in
Enterprise Risk Management, which will be published
by Wiley in 2014.

EExclusive takeaways:
About the Workshop:
Professional Risk Management Certification: This course contains material
relevant to risk management certifications by the Global Association of Risk
Professionals (GARP), Professional Risk Managers International Association
(PRMIA), and the Certified Financial Analyst (CFA).

360 International Limited, Level 8, Pavilion KL, 168 Jalan Bukit Bintang, 55100 Kuala Lumpur, Malaysia.

1. A copy of her best-selling book

Enterprise Risk Management:
E
Today's Leading Research and Best
To
Practices for Tomorrow's Executives
Pr
2. Workshop Materials: a training
ma
manual containing an overview of the
co
course, work-sheets & exercises.

www.360i-group.com

BEST PRACTICES IN
CREDIT RISK ANALYSIS
for Financial Institutions, Lenders, and Corporations

COURSE CONTENT
HOW THIS WORKSHOP WILL BE CONDUCTED
One:
DAY1 Session
Introduction and Fundamentals of Corporate Credit Risk Analysis

Introduction to Credit Risk Analysis

Current Conditions & Outlook for Global Credit & Sovereign Debt Markets
Three Forms of Credit Risk
An Analysis of the Credit Crisis

Session Two:
External and Internal Ratings

Ratings and External Agencies

Comments and Criticisms About External Ratings
Impact of Rating Changes on Corporate Security Prices
Approaching Credit Risk Through Internal Ratings or Score-Based Ratings

Session Three:
Fundamental Analysis of Credit Default Risk

Basic Principles of Credit Risk Management

External and Internal Ratings
Basic Concepts in Measuring Credit Risk
Types of Credit Instruments
Probability of Default
Pitfalls and Misuses in Risk Measures

Session Four:
Credit Risk Analysis Using Financial Statements and Ratio Analysis

Income Statement, Balance Sheet and Cash Flow Ratios

Issues in Calculating and Interpreting Ratios
Issues in Peer Analysis: Consistency and Comparability
Strengths and Weaknesses of Ratio Analysis
Case Study Application

WHY THIS EVENT

This workshop is designed to give participants an
introduction and a clear understanding to credit
risk analysis.
The expert trainer, through years of experience &
research in finance and risk management, will
conduct a dynamic and resourceful training that
you dont want to miss!
The combination of interactive presentations,
hands-on exercises and open discussion groups
along with real case studies, ensures you will obtain
maximum value from attending.
This is a unique training course and full of new
information and ideas that will surpass you
expectations.

Five:
DAY2 Session
Financial Distress

Causes of Distress
Examining Distress
Games Accountants Play
Early Warning Signs

Session Six:
Case Study Application

Workshop attendees will analyze credit risk case studies of actual

international firms to further explore issues covered in todays sessions.
Attendees will also have the opportunity to discuss crucial issues facing
them with delegates in attendance. Open discussion will follow with
suggestions and recommendations. This is an excellent opportunity to
interact in a stimulating group setting with other participants.

Session Seven:
Introduction to Credit Derivatives

What are Credit Derivatives?

Types of Credit Derivatives
- Credit Default Swaps
- Collateralized Debt Obligations
- Credit Spread Options
- Credit-Linked Notes
Case Study Examples

Session Eight:
Default Risk: Quantitative Methodologies and New Approaches to
Measuring Credit Risk

Assessing Default Risk Through Structural Models

Credit Scoring
Four approaches:
- Credit Migration Approach
- Contingent Claim Approach
- Actuarial Approach
- Reduced-Form Approach
Default Risk Measure: KMV EDF
Camara, Popova and Simkins Probability of Default Measure
Enterprise Risk Management in Credit Analysis
Conclusion

360 International Limited, Level 8, Pavilion KL, 168 Jalan Bukit Bintang, 55100 Kuala Lumpur, Malaysia.

WHO SHOULD ATTEND

Risk managers at non-financial firms

Credit analysts at non-financial firms
Professionals from trading operations
Commercial credit analysts
Commercial lenders & loan officers
Relationship managers
Fixed income professionals
Investors
Government and regulatory professionals
Other professionals interested in credit risk

COURSE SCHEDULE
8.00
8.30
10.00 - 10.20
12.30 - 13.30
14.40 - 15.00
16.00

Registration & Coffee / Tea

Workshop commences
Morning coffee / tea
Lunch
Afternoon coffee / tea
End of day

www.360i-group.com