RMA’s Loss Given Default database project was started in 1995 to help financial institutions improve their credit risk management practices. Each database is an inter-bank database, which contains transaction and cash flow information on defaulted commercial loans. These proprietary databases contain an extensive data sample of predominantly private-company commercial loan data. The Loss Given Default Databases contain a wealth of loan-specific data, enabling users to more accurately quantify the unique characteristics of commercial loan credit risk. Their chief benefit is to provide participants with a consistent data presentation and definition. They also provide a rich repository of loss experiences, as most banks will not have enough internal observations to draw any meaningful conclusions or even generate directionally relevant findings. Many banks are in the early stages of assessing the loan information they will need to collect and analyze in order to meet regulatory requirements and manage risk. The LGD data pools can be essential in this process.
RMA currently maintains Loss Given Default Databases for the United States, Canada, and Europe.
How do you become an RMA Studies Partner?
Contact:
Sue Wharton at 215-446-4089 / swharton@rmahq.org
Mark Zmiewski at 215-446-4085 / mzmiewski@rmahq.org