Topics in this session include: 

• Designing forward-looking behavioural models for managing liquidity and interest rate risk in the banking book
• Building real-world scenarios with interest rate and liquidity shocks
• Case studies to forecast customer behavior such as loan prepayment and deposit withdrawals

Many institutions recognize that credit models built in the pre-COVID-19 period are not performing sufficiently to evaluate the current environment. Credit loss forecasting methods such as those used for IFRS 9 provisions may not differentiate borrowers across industries. To add to the complexity, institutions are guided by regulators to incorporate protective measures put in place by the governments in response to COVID – 19.

In this webinar we will address these challenges and how financial institutions can address these by:

• Introducing practical adjustments which can be incorporated into internal ratings and credit assessments to increase their predictive power
• Accounting for the granular and cross-sectional impacts of COVID-19 across corporate segments
• Exploring overlays to quantify the direct and indirect effects of COVID-19–related stimulus programs targeted to individuals

In this webinar, we explore the implications of the deterioration in the financial markets and wider economy on the provisions of banks reporting under IFRS 9. We also evaluate the guidance from regulators and legislators to the banks and how these may provide assistance as well as challenges to appropriate provisioning for credit risks.

Join Doug Johnson from Moody’s Analytics and Ag News Daily co-host Mike Pearson of the Zaner Group as they share thoughts on what producers and ag lenders must do to ensure sustainability as the ag industry faces continued commodity market challenges.

Join Doug Johnson and Jason Kuzel from Moody’s Analytics and Mike Hinton, Ag Banking Consultant from Midwest Cloud Computing, as they discuss the impact of this economic grinder cycle on your ag producers, and some approaches to help your staff navigate these tenuous times. Communication, thoughtful planning and adherence to plan will be critical to remaining viable in 2019 and beyond.

As the farming industry continues to consolidate, operational size and complexities are naturally anticipated. In order to meet changing needs, Ag lenders should step back and adjust their strategy. Our panelists shared their experiences in Ag lending through multiple cycles and what they consider sustainable for the Ag market in the future.