In the Spotlight

Banks recover 75% of defaulted debt owed by large corporate borrowers, finds new Global Credit Data report

Global Credit Data has released its LGD Report 2018

 

Upcoming events

28Aug201814:00CEST

Member discussion group by web/phone, plus breakout sessions in conferences.  GCD focus groups are run by members and cover topics of interest to members, so the focus may move during the discussions.

24Sep201809:00CEST

Global Credit Data's next North American conference will be hosted by Citibank.

News

Global Credit Data has appointed Richard Crecel from Société Générale as its new Executive Director from September 2018, following retirement of Philip Winckle

SAVE THE DATE: The next North American Conference is hosted by Citibank on September 24 & 25 in New York City.

GCD will be working with Accenture and the IIF to help U.S. financial institutions benchmark their CECL models as they are developed. For this purpose, GCD has rolled out a deep methodological survey, providing banks the opportunity to benchmark their methods. 

Publications

The long term average LGD levels in this report can be compared to regulatory minima and standardised levels, allowing an industry wide discussion of prudent forward looking LGDs vs historical evidence. Note that the LGDs in this report are cash flow discounted observations of historical outcomes, not forward looking estimates.

US Banks preparing for CECL implementation can learn from banks that have already implemented IFRS 9. Similarly, IFRS 9 institutions implementing the rule this year should know that credit loss estimates of banks can vary significantly. Regulators and auditors will eventually focus on those differences and push for greater consistency.

Does loss given default (LGD) depend on the economic cycle and if so how can it be measured?

Find out more

Members

Members range from global universal banks to specialised and regional institutions, all following Basel definitions.

Data Pooling

Members share data for benchmarking their LGD, EAD and PD models on a "give to get" basis  

Working Groups

Member banks get together to study areas of common interest, e.g. Downturn LGD, Trade Finance and IFRS 9 / CECL impairment modelling.

Data Analysis & Library

Anonymised and controlled raw data is returned to member banks for their own use and analysis. GCD members have access to the library, which includes also a vast amount of analytics on the data.