Credit Risk Rating
DetectX® Credit Risk Rating produces a risk rating for each client from the data you already hold, with the metrics a credit committee expects to see behind it.
The DetectX® approach
Client financial health is evaluated with AI-driven modelling across payment histories, debt levels and market conditions, drawing on data from international markets as well as your own records.
The models adapt as market conditions change, rather than holding a rating produced under conditions that no longer apply.
- PD, probability of default
- The likelihood of a borrower defaulting on a loan.
- LGD, loss given default
- The estimated financial loss in the event of a default.
- EAD, exposure at default
- The total exposure at the time of a potential default.
- Migration matrices
- Built with your own constraints, such as a ceiling on the share of total credit volume any one risk class may hold.
What it changes
A rating that carries PD, LGD and EAD can be argued with. The committee sees which component moved and by how much, rather than a single score that has to be taken on trust.
- Portfolio-level constraints
- Concentration limits are expressed in the matrix rather than policed afterwards.
- Existing systems
- Integrates with the financial systems already in place, so the rating reaches the people who make the decision.
Why DetectX®
Credit risk and financial crime risk are asked about the same customer, and the answers are usually held in different systems. Rating on the platform that already ingests the customer and transaction data means one profile, one history, and one place a reviewer has to look.
Regulatory requirements
DetectX® supports the FATF and GAFI recommendations, and is used against Swiss regulatory requirements including GwG, FINMA-GwV, VsB 16, KAG, FinfraG, FidleG, BEHG and KKG.
It also supports MiFID and EMIR reporting obligations, and BASEL II and III requirements.
See Credit Risk Rating on your own data
A demo runs against a scenario you choose, so the alert volume and the match quality are yours rather than ours.
Request a demo