CREDIT RISK title: credit risk (IS-B-RA-CL) (SAP Library - Glossary)
CREDIT RISK category: Default Risk and Limit System (IS-B-RA-CL)
CREDIT RISK explained:
Risk that the business partner (borrower, counterparty, issuer, guarantor) will not meet the contractual obligations during the entire term of the transaction.
The credit risk comprises the sub-areas of counterparty/issuer risk and county risk, as well as the risks from classic credit products and the counterparty risk from the trading book. It includes a term- and risk-related add-on to cover potential positive changes in the market value.
Credit risk can consist in just a counterparty risk, or an issuer risk, depending on the transaction category.
In addition to credit risk, settlement risk also falls under counterparty/issuer risk and country risk.
More terms such as credit risk in Dictionary C.
- Manual Customer Value Index:
- Help valuable a customer is to a company. The index is based on the customer contribution margin. The customer value index is calculated as follows (where CM = contribution margin; x, y, z = weighting credit risk definition.
- Manual Customization (EP):
- Help of-the-box software such as SAP Enterprise Portal to the needs of a given group of users. This is done by the administrator. Customization might include the company logo, a definition of credit risk explain.
- Manual Carrier Route:
- Help geographical unit in which home delivery of titles is possible. A carrier route is a special kind of route. It is used to create a geographical structure for home delivery of editions. No other types credit risk what is.
- Manual Continuous Move:
- Help Shipment type where the transportation service provider (TSP) agrees to take on a completely new shipment straight after the completion of a shipment credit risk meaning.
- Manual Correction Items:
- Help the acquisition/production costs (APC) of an asset as well as the deductible and/or non-deductible input tax of the APC. Correction items are created for assets in financial accounting. The input tax credit risk abbreviation.
