Loss Prediction

The module is built in collaboration with the University of Sussex Mathematics Department. It uses the loss database of previous years and statistically predicts the size of future losses using the "Monte Carlo" approach. It not only allows banks to comply with Basle II but also allows any organization to set up a process of Internal Capital Adequacy monitoring.

Predictions can be produced for:

  • The entire organization
  • A particular level in the organization hierarchy
  • A Group of Entities
  • An Entity
  • A risk within an Entity
  • Groups of risks within an Entity