S & P and RiskMetrics Group Develop New Integrated Credit Risk Product
The two firms will build an interface between Standard & Poor’s CreditModel™, an Internet-accessible credit scoring model for public and private firms, and RiskMetrics’ CreditManager, a credit portfolio risk measurement, analysis and reporting tool. The interface will allow customers to access CreditModel™ analytics and generate obligor credit scores directly from within CreditManager. CreditModel™ is a series of industry and region specific credit scoring models that give users the ability to quickly and easily generate high quality evaluations of an organization’s creditworthiness. While not actual credit ratings, the scores reflect Standard & Poor’s credit analysis experience in each sector. CreditManager is a stand-alone application for the measurement and analysis of portfolio Value-at-Risk (VaR) due to credit events including upgrades, downgrades and defaults. CreditManager implements the industry standard CreditMetrics™ methodology and enables banks, fund managers and other financial institutions to consolidate credit risk across their entire organizations.