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Experimental verification of the quality and accuracy of internal rating model of the commercial bank

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F70883521%3A28120%2F12%3A43867948" target="_blank" >RIV/70883521:28120/12:43867948 - isvavai.cz</a>

  • Result on the web

  • DOI - Digital Object Identifier

Alternative languages

  • Result language

    angličtina

  • Original language name

    Experimental verification of the quality and accuracy of internal rating model of the commercial bank

  • Original language description

    To access the credit quality of the clients, internal rating models are used by commercial banks. In this article we experimentally verify the accuracy of a particular model, which is used by commercial bank in the Czech Republic for the segment of smalland medium enterprises. In this experiment, we proceeded as follows. First, we defined the financial parameters of a small company, which we consider as a company with extremely good financial situation. We verified our assumptions by Kralicek Quicktestand Credit Solvency Index. We compared results of this test with the bank's internal rating models. Next, we modeled the different values of the company's financial indicators to determine which indicators bring the most important impacts on the final rating in the bank. Finally, using the experimental approach, we sought the best possible internal rating of our company. The results of this experiment are surprising. The model evaluates an excellent company as a negative subject. The mo

  • Czech name

  • Czech description

Classification

  • Type

    D - Article in proceedings

  • CEP classification

    AE - Management, administration and clerical work

  • OECD FORD branch

Result continuities

  • Project

  • Continuities

    S - Specificky vyzkum na vysokych skolach

Others

  • Publication year

    2012

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Article name in the collection

    Advances in Economics, Risk Management, Political and Law Science

  • ISBN

    978-1-61804-123-4

  • ISSN

    2227-460X

  • e-ISSN

  • Number of pages

    6

  • Pages from-to

    305-311

  • Publisher name

    WSEAS Press

  • Place of publication

    Zlin

  • Event location

    Zlín

  • Event date

    Sep 20, 2012

  • Type of event by nationality

    WRD - Celosvětová akce

  • UT code for WoS article