Standard & Poorâs already uses Hellastat financial statement data, along with default information from 3 leading Greek banks, to produce 1 through 5 year PDs on over 35,000 Greek SMEs. This is provided via Standard & Poorâs web-based âCredit Risk Tracker, Greeceâ. The product also includes scoring models on 5 different sectors of the Greek market, covering over 50 industries.
Now, for those looking for one-off reports combining credit, business and financial information, Hellastat will combine this with its rich business and financial information data set in its âCredit Reports Serviceâ.
âWe are delighted to see our relationship with Hellastat expand in this wayâ said Stuart Shipperlee, head of PD scoring products at Standard & Poorâs Risk Solutions. âWe have long felt our PD scores could be vital information for the trade credit and smaller financial institution markets that Hellastatâs new product will serveâ.
Panos Michalopoulos, founding Partner at Hellastat, said âby introducing this service we are making the quality of credit information Standard & Poorâs provides to large banks and the international capital markets available to all organisations in Greeceâ.
The importance of managing SME credit risk with sector specific models is highlighted by the very different results in different Greek market sectors.
âOur research suggests that the most vulnerable part of the Greek economy to default is Consumer Productsâ, says Mr Shipperlee, âwith even the best firms in the bottom quartile of the sector showing a one year default probability of 5.3%. Whereas the trade sector bottom quartile starts with PDâs of 2.4%, over 2 times less risky. Even construction, where the bottom quartile of firms starts with PDâs of 4.9%, appears less risky than Consumer Productsâ.