Credit Risk & Lending Management: BFF3841 Assignment – Semester 1/ 2014 Part 1 - Estimate probability of default (PD) for each firm Firm Code PD(%) AGL ENERGY LIMITED AGK 0.024% ARISTOCRAT LEISURE LIMITED ALL 0.000% ASCIANO LIMITED AIO 4.30% ALS FPO ALQ 1.943% Part 2 - Record the industry of each firm (use GICS categories) Firm Code Industry AGL ENERGY LIMITED AGK UTILITIES ARISTOCRAT LEISURE LIMITED ALL CONSUMER SERVICES ASCIANO LIMITED AIO TRANSPORTATION
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Lending Decisions Assignment LOAN APPRAISAL REPORT Title: AFW 3841 Assignment By: Umasuthan Rengasamy (20365853) To: Dr. Sockalingam Faculty: School of Business and Economics Date of Submission: 4 May 2012 TABLE OF CONTENTS 1. Introduction 2. Company Profile 3. The Financial Performance (3 years) 4. The Proposed Project 5. Capital & Financials 6. Capacity 7. Collateral 8. Conditions 9. Compliance Issues 10. Justification for the Loan 11. Loan Decision and Terms
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government to bail them out. The corrupt big banks were full of greed and poor ethics. Mortgage approval rates were much too high which led to many more home buyers. This caused housing prices to rise like crazy. Mortgage companies and banks were lending money to people that should not have been lent money. They were falsifying loan documents in order to make a loan and obtain fees regardless of risk. Money was being borrowed to people
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COMPUTERIZED LENDING SYSTEM Chapter I The Problem and its Setting Introduction As the world moves a global electronic place‚ lots of establishments are not upgrading their computers to the latest features just assures that their clients will be satisfied by the services that they give and create a friendly environment to each member. The existing loan transaction processing system used by the RGT Lending Investor Incorporated is manually operated. The loan takes two (2) days
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The Subprime Mortgage Crisis Summary: Since 2006‚ American gradually comes into being a crisis called ’’sub-prime mortgage crisis’’. This crisis becomes more and more serious in the following year‚ now it is becoming a finance storm that is sweeping over the world like EU‚ Japan and such main financial markets. The storm had first destroyed the Wall Street and some important global financial Institutions; it also results in the bankruptcies of sub-prime mortgage institutions‚ the closures of
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: Everyone including Moody’s played a large role in the financial crisis. The less qualified home buyers were told to lie in order to qualify for the mortgage loans and no one would verify their income or assets. Those home-buyers irresponsibly purchased houses that they couldn’t afford. The mortgage lenders produced more loans to people‚ then packaged them altogether to sell to investment banks. As a result‚ the mortgage lenders had more positive cash flow for producing more loans. This process
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Available at: http://www.britannica.com/ Hoskins‚ S.‚ Jones‚ K. and Weiss‚ N. An Overview of the Housing Finance System in the United States. [online] CRS Report for Congress. Available at: http://fas.org/sgp/crs/misc/R42995.pdf Jaffee‚ D. The U.S. Subprime Mortgage Crisis: Issues Raised and Lessons Learned. [online] World Bank. Available at: http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2010/12/01/000333038_20101201234552/Rendered/PDF/577270NWP0Box353766B01PUBLIC10gcwp028web
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Impact of US Recession of 2007-08 on Indian Economy and recommendations for future Date: August 28‚ 2014. CONTENTS PAGE NOS. Objective Background Research Methodology Backdrop of the crisis (i) Boom in World Economy and Thriving Asset Prices (ii) Growth in US Economy - Interest Rate Cut and Deregulation (iii) Failure of the US Leadership in Anticipating the Crisis Development of the crisis (i) Sub-prime mortgage (ii) Securitization and Repackaging of Loans (iii) Excessive Leverage
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1. Is it fine to privatize profits and nationalize losses‚ is it right for organisational development? As the United States Of America had to suffer sub-prime crisis during 2007-2008. Many home-owners defaulted in their payments causing Freddie and Fannie to suffer multi-billion dollar losses. The share prices tumbled by more than 90% and the investors around the world felt that these two firms might not be able to live upto the guarantees which they have to provide to the public. It is somehow
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“It takes many good deeds to build a good reputation‚ and only one bad one to lose it.” (Ben Franklin). Goldman Sachs was the most prestigious investment bank with over one hundred years of good business history and on September 21st‚ 2008 it reorganized itself as a bank holding company. As a bank holding company‚ it engaged in global investment management‚ investment banking‚ securities‚ and other financial services. An unfortunate series of scandals had put its good reputation in a downward
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