Oracle Financial Services Loan Loss Forecasting & Provisioning

Global financial services institutions need to accurately forecast credit losses and create provisions for such losses in accordance with rules specified under IAS/IFRS. Regulations such as Basel III & Dodd-Frank require institutions to forecast credit losses under baseline and multiple adverse scenarios as part of the capital management process.

Oracle Financial Services Loan Loss Forecasting & Provisioning provides pre-configured & extensive computations that enable institutions to effectively forecast credit losses under multiple scenarios and compute required provisions. It provides pre-configured methods computing provisions which include counter-cyclical methods and enables compliance with IFRS 9 & Basel III requirements on counter-cyclical provisioning.

• Credit loss forecast under baseline and stress scenarios
• Pre-configured counter-cyclical methods for provision / ALLL calculation
• Transition matrix estimation using advanced statistical methods
• Built-in cash flow engine
• Exhaustive coverage
• Comprehensive stress testing capability
• User-defined parameters
• Export reports in various formats such as Excel, PDF, text file & XML

• Comply with new and emerging regulations such as Basel III , Dodd-Frank & IFRS 9
• Enable strategic capital decisions using a single consistent suite of applications
• Adopt counter-cyclical methods for loan loss provisioning
• Assess risk for a portfolio across multiple parameters
• Enable multi jurisdiction reporting
• Improve capital management and strategic planning
• Provide key metrics to stakeholders

• Oracle Financial Services Loan Loss Forecasting & Provisioning ( PDF )