CCP Intermediate Level
Corporate Credit Analysis cheat sheet
Every chapter's key points, formulas and definitions on one page, for the last week before the exam. Each heading links to the chapter that explains it.
Credit analysis
- A lending decision is made within the lender's own philosophy: risk appetite, sector focus and portfolio positioning explain why two lenders can reach opposite decisions on the same application.
- A plausible borrower is not enough: the opportunity must also fit the lender's portfolio concentration and strategic sector focus.
- Each stage of the analysis is a decision gate, not just a data-gathering step, so a proposition that fails any gate is declined however strong it looked at an earlier one.
- The credit decision ends in one of four outcomes: approve as proposed, approve with modified terms, decline, or refer upward for a larger exposure.
- Disbursement is not the end: a lending decision commits the lender to a monitoring decision on how closely, how often and against what triggers.
The rest of the sheet covers
- Corporate borrowers
- Corporate strategy and credit risk
- Structuring credit products
- The management factor
- Corporate financial risk analysis
- Credit risk on debt instruments
- Industry credit risks
- Sovereign and country risk
- Credit monitoring and control
- Exam technique and revision
- Glossary