Introducing IRB Nexus
IRB Nexus is our innovative credit analytics solution powered by Credit Benchmark’s data. The solution helps banks enhance their internal ratings-based (IRB) models by addressing the challenges posed by evolving regulatory requirements. It is particularly useful for low-default and no-default portfolios, where traditional data sources such as historical default observations often fall short.
By aggregating credit evaluations, including ratings and historical defaults, from over 40 banks, IRB Nexus provides access to more than 10 million risk estimates annually. This extensive dataset enables banks to build and validate their risk models and improve compliance with regulatory standards.
Enhancing Compliance And Risk Management
By utilizing IRB Nexus, banks can build better IRB models, maintain a competitive edge in lending to low-risk segments, and more effectively manage risk through the rich analytics provided by the solution. Additionally, IRB Nexus supports the expansion of modelling capabilities across different geographies and sectors where internal historical analytics is limited, broadening lending opportunities for banks to better serve their customers.
Tailored Risk Management And Transparency With IRB Nexus
IRB Nexus provides tailored results through a four-step process, delivering documentation to justify the approach and a dataset for audit trails, supporting transparency, reproducibility, and clarity for stakeholders reviewing the work.
The process from baselining to final product
Benefits And Advantages Of IRB Nexus
IRB Nexus offers a suite of innovative features designed to enhance banks' credit risk modeling capabilities.
Increased Dataset Availability
A 5- to 10-fold increase in historical dataset availability for low-default modelling using pooled data.
Regulatory Data Documentation
Purpose-built data documentation referencing relevant regulatory requirements (for example, EGIM).
Expert Engagements For Compliance
Engagements led by experts experienced with regulatory IRB modeling.
Customized Analytics
Customization ensuring representativeness of the analytics for each bank and portfolio.
Ongoing Model Monitoring Service
Continuous service to enable ongoing monitoring of model.