Risk Management - Credit & Counterparty Risk for Funds

Credit risk is an essential component of investment fund's risk toolkit, as it delves into the interconnected system of counterparties, trust and incentives underpinning the fabric of the financial system. 

This course provides the fundamental knowledge on credit and counterparty risk management, the processes and methodologies applied within the risk management framework of investment funds.

• Understand the different types of credit/counterparty risk in the fund industry

• Learn different methods for measuring credit/counterparty risk in the fund industry

• Understand both internal and external credit ratings

• Analyze the counterparty risk for derivatives, particularly over-the-counter derivatives

• Learn how to manage collateral risk

• Introduction
• Credit Risk Measurement
• • Key Variables
  • Credit Portfolio Models
• Credit Ratings
• • Rating Agencies
  • Internal Ratings
• Credit Risk for Financial Instruments
• • Debt Instruments
  • • Default Risk
    • Spread Risk
    • Migration Risk
    • Settlement Risk
  • Derivatives
  • • Counterparty Risk
• Managing Collateral Risk
• Future Trends in Credit Risk Management

Financial service professionals who want to acquire a comprehensive understanding of credit and counterparty risk, and their applications within investment fund risk management.

For this training course, an optional exam is available. In case of interest, candidates can choose a date from the list of proposed examination sessions. Registration for the exam must be made at least five days before the chosen exam date. The exam is subject to a registration fee.

The examination consists of true/false and multiple-choice questions. To pass the exam, a candidate must achieve a score of at least 50% of the total points on the exam.

This module is part of the Risk Management Certification for funds. To obtain their certificate, candidates must complete the curriculum in Risk Management for funds and pass the exam.   

More details here : Professional Certification in Risk Management for Investment Funds