More NewsBank Leumi Reduces Risk with SAS Analytics

Bank Leumi Reduces Risk with SAS Analytics

Bank Leumi is using SAS Credit Risk Management to help maintain an overall capital ratio of 14-14.5%, while delivering superior shareholder returns. Bank Leumi developed its own commercial and corporate credit risk methodology supported by advanced risk architecture. The bank needed a solutions provider with deep experience building best-fit solutions for credit risk management to build a single credit-risk database to support all aspects of the credit-risk management system.

“Our credit risk management approach goes beyond regulatory requirements, which do not necessarily add business value,” said Boaz Galinson, head of the credit risk modelling and measurement group at Bank Leumi. “Rather, our role is providing information that will help the business make the right decisions.”

Galinson believes that risk management analysis must be integrated into the business. A key lesson from the credit crisis is that risk management should answer questions raised by senior trade officers and not remain on the sidelines. Bank Leumi has developed a competitive advantage through innovative management of the risk profile of its commercial and corporate credit portfolio. More complex than retail banking, corporate portfolios reflect more varied business needs.

In addition, concentrations of credit risk (i.e. the risk profile of a group of connected obligors, a sector, a geography or a significant obligor) can affect the bank’s total portfolio. This is particularly challenging when the commercial and corporate portfolio includes untraded companies with no external credit rating.

Related Articles

Infosys Finacle to power Santander UK’s international cash management system

More News Infosys Finacle to power Santander UK’s international cash management system

4w The Global Treasurer
Preparing for GDPR? Here’s four things to consider

More News Preparing for GDPR? Here’s four things to consider

4m Elliott Wiseman
Cash flow in focus for investors

Cash Management Cash flow in focus for investors

5m Conor Deegan
Treasury TV: Karen Pugsley, Domino's Pizza Group

More News Treasury TV: Karen Pugsley, Domino's Pizza Group

5m Victoria Beckett
Treasury TV: Yeng Butler compares US and European MMF reforms

Compliance Treasury TV: Yeng Butler compares US and European MMF reforms

5m Victoria Beckett
Treasury TV: Tim de Knegt, The Port of Rotterdam

10 Minutes With The Treasury Treasury TV: Tim de Knegt, The Port of Rotterdam

6m Victoria Beckett
Banks are selling clients short with short dated cash deposit U-turns

Banking Banks are selling clients short with short dated cash deposit U-turns

6m Victoria Beckett
What does sterling’s Brexit boost mean for UK manufacturers?

More News What does sterling’s Brexit boost mean for UK manufacturers?

6m Tasja Botha