Step one , Determine the goals of the loan portfolio. Vietcombanks loan portfolio management department, based on the banks strategy and policy goals, sets out the goals to be achieved for the loan portfolio for the next period (usually annually ) ; Step two , the loan portfolio management ...
HHI does not show the relationship between industry credit risk and concentration risk in the loan portfolio, and does not provide the amount of risk provisions that commercial banks need to prepare for the loan portfolio. b. Gini coefficient The Gini coefficient is one of the classic indicators to ...
Effective risk management in practice. Directors or heads of business units are directly responsible for credit risks arising in their units. In addition, the Chief Risk Officer will be responsible for credit risk management within the policy frameworks set by the Risk Management Committee, and ...
The documents issued by the State Bank in the coming time to guide the implementation of Basel II require commercial banks to have a strong change in awareness and significantly enhance their credit risk management capacity. Faced with this reality, a series of commercial banks have organized and ...
