Moody’s Risk Management Services announced a new product, LossCalcTM, that predicts recovery rates for debt instruments that have defaulted. Moody’s LossCalc is an extension and enhancement of Loss Given Default (LGD) research that Moody’s has conducted and published for over ten years, aiding market participants in predicting the extent of losses that might be suffered by investors with defaulted debt obligations. Loss given default is an estimate of the loss a creditor will incur if the borrower of a loan or the issuer of a bond defaults. It is an important component in determining the prices of financial instruments such as bonds, loans, and derivatives and it is essential for credit risk management. Unlike traditional approaches, LossCalc incorporates macroeconomic information, industry, and firm-specific data. LossCalc produces estimates at both the immediate and the one-year time horizons. This allows LossCalc to be usedover a range of debt maturities.
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.