World'Vest Base, Inc. ("WVB") and Institutional Risk Analytics ("IRA") have agreed to cooperate in the development and marketing of financial performance and credit risk metrics for banks located in the Euro zone and Asia based upon the new Basel capital accord, known as Basel II. This announcement marks an expansion of the relationship between the two companies.
WVB is the largest independent provider of structured financial data for Asian, European and US companies. The WVB global database is the financial industry's premier source of detailed and transparent financial statement data on public companies. The database universe spans over 30,000 companies over 80 countries from Asia, Africa, Australasia, Europe, Latin America and North America.
IRA is a custom designer of risk analysis and valuation tools for credit officers, auditors, corporate lenders, regulators and other financial decision makers. The IRA Bank Monitor is the first commercially available Basel II benchmarking system for US banks, using "as filed" data and calculations from taken from bank regulatory agencies to generate such key credit risk metrics as Probability of Default ("P(D)"), Exposure at Default ("EAD") and Loss Given Default ("LGD") for every federally insured bank and thrift institution in the US.
Under the new initiative, IRA will provide pre-calculated, top-level metrics for all of the banks in the WVB global database, including top-level metrics for US bank holding companies, affording investors, risk officers and international regulators the capability to make preliminary comparisons of all international banks as they will look under the Basel II accord. IRA will continue to act as a distributor for WVB products in the US, including a bundle of WVB data with the IRA Corporate Monitor analytics engine. WVB will likewise market the products and services of IRA via its sales network in Europe and Asia.
"As banks and regulators in the EU and Asia gradually bring their disclosure and data quality up to the levels now available in the US from the FDIC and Federal Reserve System, the body of Basel II performance and credit measures is going to become an increasingly important means of evaluating a bank's financial health," said Dennis Santiago, CEO and co-founder of Hawthorne, CA-based IRA. "We are excited about working with World'Vest Base to expand the coverage of our Basel II metrics to include non-US Banks, and to help them generally increase the range of analytical solutions they offer to all of their clients."
"Now that we are able to deliver a comprehensive data solution that includes US, European and Asian companies, expanding our work with IRA in the area of analytics is the logical next step and gives us an even stronger value proposition for our clients," commented Philippe O. Piette, CEO of WVB. "IRA's unique offering of off the shelf tools such as the IRA Bank Monitor, and their world-class custom analytics capabilities, is an enormous addition to our family of structured data products."