Credit Risk Management: Frameworks and Strategies from Coursera

What's inside

Syllabus

Getting Started

This course will introduce you to the credit risk management principles and concepts. You will also learn about default trends, market indicators and Portfolio Management.

Module 1: Principles and Concepts

In this module, we'll cover the principles and concepts of Credit Risk Management. We'll review the purpose, benefits and analytical approaches to credit analysis and explore the integrated financial story, conclusions, and risk decision-making. We'll also cover corporate balance sheets and analyze credit exposures. We'll look at credit risk outlook and strategy, expected loss, risks and rewards and finally wrap up with a look at debt investors and debt and funding products.

Module 2: Default Trends and Market Indicators

In this module, we'll cover credit markets – trends and recent activity. We'll look at credit spreads, default rates, default frequencies and default probabilities. We'll also look at market indicators, bond spreads cred-t-default-swap markets and credit models. We'll wrap up this module with a look at credit markets and analysis during the pandemic, defaults and bankruptcies.

Module 3: Credit Portfolio Management

In this module, we’ll cover principles, concentration risks, and correlation risks. We’ll cover credit deterioration vs. credit default and Credit-risk mitigation. We’ll wrap up this module with a look at credit derivatives and review the lessons learned from past crises.

End of Course

You've come to the end of the course. Let's wrap up with a quick summary of the key takeaways of this course.

Good to know

Know what's good

, what to watch for

, and possible dealbreakers

Explores the use of financial ratios and financial metrics to evaluate overall financial performance and risk profile

Focuses on developing skills in qualitative risk analysis for company and project assessment

Led by instructors Jack Farmer and Tracy Williams, who have experience in the field

Provides a comprehensive overview of credit risk management principles, default trends, market indicators, and portfolio management

Reviews summary

Credit risk management theory reference

Learners say this course in credit risk management provides a high level overview of the frameworks and strategies used to assess and manage risk. Students find the instructor to be knowledgeable and engaging, making the course easy to understand even for those with little accounting or commerce background. Overall, students recommend this course for anyone looking to gain a better understanding of credit risk management.

Easy to understand even for beginners

"it was so detailed and tailored in a way that makes studying exciting"

"I, myself, being an engineering undergrad was able to understand easily"

"Overall, the instructor was explaining quite clearly"

High-level overview

"A sufficient course"

"It helps to understand the business imperatives of how Credit Risk needs to be addressed"

"I had a good experience taking up this program"

Framework for assessing and managing risk

"A very well articulated training program that essentially covers a high level insight towards Credit Risk Management Frameworks and Strategies."

"Definitions and models used across various junctures have been quite helpful and handy."

"Sneak peek into Credit Risk Management"

Instructor is knowledgeable and engaging

"Good course. Enjoyed the teacher - clear and easy to understand."

"The instructor was explaining quite clearly"

"Best free online course. This lecturer is just amazing:His tone, his passion I love it"

Assumes prior knowledge

"A sufficient course for students from backgrounds different from accountancy/commerce"

"some reference material regarding line of credit, credit default swap, basis points in the credit pricing topics"

Lack of course materials

"Learners would benefit from having course notes and slides."

"No certificate useless upgrade."

Activities

Be better prepared before your course. Deepen your understanding during and after it. Supplement your coursework and achieve mastery of the topics covered in Credit Risk Management: Frameworks and Strategies with these activities:

Review current credit risk management topics

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This activity will provide you with the knowledge and skills needed to understand the course material, providing a solid foundation on which to build throughout the course.

Browse courses on Credit Risk Management

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Read articles and blog posts
Watch videos and webinars
Attend conferences and workshops

Compile all the new materials

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This will help you stay prepared for the course by ensuring all materials are in one place.

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Gather your notes, assignments, quizzes, and exams from previous courses
Organize your materials by topic
Review your materials regularly

Use guided tutorials to learn about financial ratios and metrics

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This will help you to understand how to use these tools to evaluate a company or project’s profitability, balance sheet, capital structure, and cash flow.

Browse courses on Financial Ratios

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Find tutorials on financial ratios and metrics
Follow the tutorials
Complete the exercises

Five other activities

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Complete practice problems on credit risk analysis

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Structured practice will reinforce the concepts you learn in class and enhance your ability to apply what you learn for credit risk analysis beyond this course.

Browse courses on Credit Risk Analysis

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Find practice problems on credit risk analysis
Complete the practice problems
Check your answers

Form a study group with other students enrolled in this course

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This will help you to stay motivated and on track, and it will also provide you with opportunities to get help from others and share your own knowledge.

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Find other students who are enrolled in the course
Meet up with your study group regularly
Discuss the course material
Work on practice problems together

Attend workshops on credit risk management

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By engaging with professionals in the industry you can build upon the knowledge you have gained during this course and continue to refine your understanding of the finance industry.

Browse courses on Credit Risk Management

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Find workshops on credit risk management
Register for the workshops
Attend the workshops

Create a credit risk analysis report

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This hands-on project is an opportunity to apply the course material to a specific company of your choosing and with this, you will have the opportunity to better understand credit risk analysis and how it's used by professionals.

Browse courses on Credit Risk Analysis

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Choose a company
Gather data on the company
Analyze the data
Write a report

Contribute to open-source projects related to credit risk management

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This activity grants you the ability to practically apply your new knowledge and to learn how to work with a group to accomplish a defined goal.

Browse courses on Credit Risk Management

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Find open-source projects related to credit risk management
Fork the projects and make changes
Submit pull requests

Career center

Learners who complete Credit Risk Management: Frameworks and Strategies will develop knowledge and skills that may be useful to these careers:

Credit Analyst

Credit analysts help businesses make smart investment decisions based on the credit risk of a given business. This course will help you prepare for this role by providing you with experience in financial ratio analysis, financial metrics, the evaluation of overall financial performance, and risk profiles.

See salaries and explore the career path for Credit Analyst

Financial Analyst

Financial analysts provide companies with investment due diligence by evaluating financial data. This course will help prepare you for this role by providing you with experience in using business and industry analysis to understand companies, projects, business models, and financing proposals.

See salaries and explore the career path for Financial Analyst

Quantitative Analyst

Quantitative analysts use mathematical and statistical modeling to analyze financial data. This course will help prepare you for this role by providing you with experience using financial ratios and financial metrics to evaluate a company's or project's profitability, balance sheet, capital structure, and cash flow to assess overall financial performance and risk profile.

See salaries and explore the career path for Quantitative Analyst

Risk Management Analyst

Risk management analysts identify and assess the financial risks faced by organizations. This course will help prepare you for this role by providing you with experience in evaluating a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Risk Management Analyst

Portfolio Manager

Portfolio managers make investment decisions for clients based on their financial goals and risk tolerance. This course will help prepare you for this role by providing you with experience in credit portfolio management, including principles, concentration risks, and correlation risks.

See salaries and explore the career path for Portfolio Manager

Underwriter

Underwriters evaluate the risk of issuing insurance policies. This course may help prepare you for this role by providing you with experience in evaluating a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Underwriter

Auditor

Auditors examine financial records to ensure accuracy and compliance. This course may help prepare you for this role by providing you with experience in using financial ratios and financial metrics to evaluate a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Auditor

Compliance Analyst

Compliance analysts ensure that companies comply with laws and regulations. This course may help prepare you for this role by providing you with experience in evaluating a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Compliance Analyst

Commercial Banker

Commercial bankers provide financial services to businesses. This course may help prepare you for this role by providing you with experience in credit analysis and financial ratio analysis.

See salaries and explore the career path for Commercial Banker

Hedge Fund Analyst

Hedge fund analysts evaluate investment opportunities for hedge funds. This course may help prepare you for this role by providing you with experience in financial analysis and financial ratio analysis.

See salaries and explore the career path for Hedge Fund Analyst

Investment Banker

Investment bankers help companies raise capital and advise them on mergers and acquisitions. This course may help prepare you for this role by providing you with experience in financial analysis and financial ratio analysis.

See salaries and explore the career path for Investment Banker

Private Equity Analyst

Private equity analysts evaluate investment opportunities for private equity firms. This course may help prepare you for this role by providing you with experience in financial analysis and financial ratio analysis.

See salaries and explore the career path for Private Equity Analyst

Consultant

Consultants provide advice to businesses on a variety of topics, including finance and risk management. This course may help prepare you for this role by providing you with experience in evaluating a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Consultant

Business Analyst

Business analysts help businesses improve their operations. This course may help prepare you for this role by providing you with experience in using financial ratios and financial metrics to evaluate a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Business Analyst

Data Analyst

Data analysts collect and analyze data to help businesses make decisions. This course may help prepare you for this role by providing you with experience in using financial ratios and financial metrics to evaluate a company's or project's overall financial performance and risk profile.

See salaries and explore the career path for Data Analyst