Financial  Credit Research​

Financial credit research is a process that involves analyzing an individual's or company's financial information to determine their creditworthiness. It's a key part of the finance industry and helps lenders and investors make informed decisions about lending or investing. 

 

Credit research analysts gather and review a variety of information to assess a borrower's creditworthiness, including:

financial health, payment history, market conditions, income statements, balance sheets, credit scores, and collateral. 

 

Credit research helps to:

• Mitigate risk 

• Inform lending strategies 

• Predict the likelihood of a borrower defaulting on their debt 

• Assess the potential severity of losses if a borrower defaults 

• Determine the risk rating to assign to the borrower 

 

Some things to consider when conducting credit research include:

• The borrower's reputation

• The industry's environmental and social concerns

• The economic condition, including GDP growth, interest rates, and inflation

• The type of market, such as a monopoly or oligopoly

• The industry's position in the value chain