Managing Credit Risk Under The Basel III Framework

This book is developed for teaching a one semester course in credit risk management at undergraduate and MBA levels as the first course in financial risk management. Readers are assumed no prior knowledge in financial risk management. This revolutionary approach aims at broadening the lectures on credit risk management to most students who intend to work in the financial industry. Recognizing that credit risk is the largest risk exposure in financial institutions, this book also seeks to answer the questions that are often raised by practitioners who actually work in the field of credit risk management. Riding on the Basel III framework, the solutions are delivered by contemporary techniques conforming to the latest regulatory standards. This fills immediately the gap between the working requirements in the office and the academic knowledge in the laboratory. Accompanying this text book is a manual “A Lecturer’s Guide for Teaching Credit Risk Management” which comprises a complete set of teaching aids, including among others, presentation slides, Excel work examples, assignments, examination papers, solutions, link to GARP’s past FRM examination questions and course administration documents. These are the works accumulated by Mr. Yat-fai LAM during his many years of teaching in credit risk management at universities. Interested readers may order the manual with the order form on the book website https://sites.google.com/site/crmbasel