Moody's Corporation · NYSE:MCO
Moody's — Conference Presentation (August 2020)
12 slides from Moody's's conference presentation, August 2020
Slide 1: Management Challenge: A benchmark for CECL estimates
Management Challenge: A benchmark for CECL estimates August 2020
Slide 2: Today's Speakers
Today’s Speakers Anna Krayn Laurent Birade Philip Lai Managing Director Senior Director Associate Director ERS Sales Americas Risk and Accounting Solution Product Consultant Management Challenge - A Benchmark for CECL estimates 2
Slide 3: Discussion
Discussion »Benchmarking research »Q2 results overview »Interactive Q&A
Slide 4: Initial Results
Initial Results *Peer group weighted average – 1.98% Management Challenge - A Benchmark for CECL estimates 4
Slide 5: Triangulation Index Creation
Triangulation Index Creation STEP 01 Gather data. Define peer group and gather historical call report data and DFAST estimates. Review data for any 02 03 04 05 anomalies and potential outlier issuers. 01 STEP 02 STEP 03 Review each methodology and Determine which metrics to use. Assumptions. Define
Slide 6: Framework Description - Triangulation
Framework Description - Triangulation DFAST Stress testing results. Gather stress testing results from customer and use peer group available or DFAST results averages. NCO averages 2007-2010. Customer and peers NCO during the financial crisis (GFC) period to derive coverage based on average and maxi
Slide 7: Framework Description - Weights
Framework Description - Weights Establishing weights for each measure » Expert Judgment » Lower bound metrics » Upper bound metrics » Rational based on favored measures » Idiosyncrasies Management Challenge - A Benchmark for CECL estimates 7
Slide 8: Q2 Results
Q2 Results Discussion and remarks *Peer group weighted average – 2.59% Management Challenge - A Benchmark for CECL estimates 8
Slide 9: Management Challenge Benchmark for CECL
Management Challenge Benchmark for CECL As a service or do it yourself… The analysis presented today provides an overview of the Moody’s Analytics view benchmarks to evaluate CECL estimates » Integrated tools to facilitate analysis » Key components: – Historical performance analysis – 5 top down met
Slide 10: Questions and Answers
Questions and Answers Management Challenge: A benchmark for CECL estimates
Slide 11: moodysanalytics.com
5) Better Moop YS Faster Decisions ANALYTICS moodysanalytics.com
Slide 12: Management Challenge - A Benchmark for CECL estimates
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