-Unique Solution Combines Financial Statement Analysis With Private Firm Default Probability -
Moody's KMV, the world’s leading provider of quantitative credit-risk measurement and management solutions to lenders, investors and corporations, today introduced a major update to its RiskAnalyst™ tool, version 4.1. The release of RiskAnalyst 4.1 includes an enhanced International Financial Template (IFT) integrating with 13 different Moody’s KMV RiskCalc® private firm Expected Default Frequency (EDF) models, allowing global lenders to assess their credit portfolio with one common tool that complies with both international and local accounting standards. The complete RiskAnalyst solution facilitates effective financial statement spreading and accurate credit risk decisions.
IFT is a general business template that enables institutions to analyze the financial results of companies worldwide whose financial statements are prepared in accordance with either local accounting standards or International Financial Reporting Standards (IFRS). The enhanced IFT includes features such as customer and peer comparison, projection analysis, different cash flow analyses and generation of many different financial reports. These features offer greater functionality to RiskAnalyst, so global lenders can implement a complete solution for assessing public and private borrowers.
RiskAnalyst 4.1 also demonstrates IFT’s applicability to credit analysts around the world as it now also integrates with the following RiskCalc models: Australia, France 3.1, Germany 3.1, Italy 3.1, Japan 3.1, Nordic 3.1 (Denmark, Finland, Norway, Sweden) and South Africa 3.1, in addition to IFT’s existing integration with the United Kingdom 3.1, United States 3.1 and Canada 3.1 RiskCalc models.
Mary Jan Hedman, Managing Director, Product Management, Moody’s KMV, said, “The growth of the global business community and capital markets has led to a greater need for financial managers to uniformly process diverse global financial results. The integration of International Financial Template with different RiskCalc models throughout Europe and Asia Pacific allows RiskAnalyst users – corporations and financial institutions – across different global markets to maximize their credit analysis through one comprehensive best in breed credit decisioning system.”
Moody's KMV has designed and made available to customers over 20 different financial spreading templates: in addition to IFT, Moody's KMV also offers two other general business templates that are separately based on United States and United Kingdom Generally Accepted Accounting Principles as well as industry specific templates for analysis of auto dealerships, construction contractors, hospitals, real estate developers, international banks, energy producers and utility companies. IFT incorporates the best features from those templates and is based on the feedback from over 1,500 clients.