S&P Capital IQ has announced the development of newly calibrated models to provide point-in-time, short to mid-term, and long-term measures of credit risk for all non-financial corporates and financial institutions across the globe. The models are designed to identify weakening credit, and help users strengthen their surveillance process for both rated and unrated entities. The global database from S&P Capital IQ includes over three million private companies, almost 50,000 listed companies, and over 730,000 companies with financials.
The point-in-time measure of credit risk helps identify weakening credit profiles via daily changing credit risk indicators based on market signals such as credit default swap (CDS) spreads or stock price volatility. For short to mid-term measures of credit risk, another suite of models evaluate the probability that an entity will not meet its obligations in the next one to two years with probabilities of default (PD). For long-term views of credit risk with a horizon of around three to five and up to ten years, a proprietary series of industry and region-specific quantitative scoring models generate stable assessments of creditworthiness that are aligned with the Standard & Poor’s Ratings Services methodology.
Clients can get the credit risk indicators or access to the models for in-depth sensitivity analysis and stress-testing of any entity in their portfolio from the S&P Capital IQ platform, Excel Plug-in, the S&P flagship data feed, Xpressfeed, and the S&P Capital IQ API, for a seamless integration into customer workflow.
Source: Valuewalk.com
