S&P Global Market Intelligence






Assess Risk Appetite in Trade Credit with MaxLimit from Credit Analytics.

 
When assessing your credit risk exposure to counterparties one of the most challenging steps can be assessing risk appetite. Whether for trade agreements with new customers or supply chain management, the MaxLimit framework can help you manage exposures by recommending maximum exposure limits, incorporating multiple risk dimensions, like customer’s financial and industry risks, as well as supplier’s risk appetite.

To assess the Risk Appetite, MaxLimit combines the following four steps in a comprehensive framework:

1. Counterparty Debt Capacity

2. Counterparty Risk Adjustments

3. User Experience

4. Risk Appetite



MaxLimit is part of the RiskGauge™ offering, which provides a holistic credit risk score, and detailed credit risk reports for over 50 million public and private companies across the globe – including small- and medium-sized enterprises. With expanded private company data coverage and dynamic analytical models, RiskGauge blends the traditional with alternative credit risk indicators to give you the confidence to make credit decisions with conviction.




Request More Information
See the RiskGauge models and scores in action with our blogs and webinar replays.
  • Explore the potential macroeconomic scenarios of a pandemic on credit risk in various industries by applying the Macro-Scenario Model.
  • Discover the latest trends in trade payables, explore shifts in trade credit activities, and provide a forward-looking view on companies’ payment behaviour using a statistical model.
Join us for this webinar, where we will be detailing the impact on corporate supply chains and counterparty credit risk as a result of COVID-19, and the United States (US) - China Trade Wars. Using Credit Analytics suite of solutions, and Panjiva's Supply Chain Intelligence research, we will illustrate how you can utilise our statistical models, and supply chain data on our platform, to gain essential insights. 
.



Read more here > 

Blog: Understanding the Shift in Trade Credit in the COVID-19 Pandemic

In this article, we present the results of a study on the trade payables of US companies since the outbreak of COVID-19, aiming to provide a clearer picture on the shift in supply-chain financing activities due to the pandemic, as well as a forward-looking view on companies’ payment behavior.


Blog: Gauging Credit Risk Through a Multi-Dimensional Lens

“Which credit risk model should I use?” is a question that is even more relevant in times of market stress, such as the unpredictable COVID-19 era. Whilst “the one with the best performance” may seem like a reasonable answer, the (un)fortunate fact is that credit risk models are tailored for different objectives and thus exhibit a broader set of distinct performance characteristics. 


Read our latest research on a unique approach to assessing SME credit risk that can help you avoid unwanted exposures by utilizing our new RiskGauge reports and models.


In everyday business, defining the appropriate credit limits for customers plays an important role in helping a supplier maintain short-term liquidity, optimize growth opportunities, and manage the risk of non-payment. Our latest blog discusses how MaxLimit framework can help assess maximum exposure when there is no universal, or generally accepted, approach.  
Facebook   Twitter   LinkedIn   YouTube
©  S&P Global Market Intelligence. All rights reserved.  Unsubscribe   Update your Preferences   Privacy Policy   Cookie Notice   Terms of Use   Do Not Sell My Personal Information