This is the first part of a 5-part series on how to be an effective credit analyst. With the recent financial & credit crisis, everyone’s wondering…what happened?
It’s time to get back to basics. So, I hope you enjoy this free series on how to be an effective credit analyst.
Tip #1: In-depth Risk Analysis
The first element of an effective credit analyst is in-depth risk analysis skills.
Focusing solely on the numbers in a credit application can be misleading. Effective credit analysts know that there’s more to an analysis than just crunching the numbers.
Since each industry has its own specific features and dynamics, before starting an analysis of a company, you need to to identify the crucial economic and financial inidcators that matter most to derive critical success factors for the industry in which that company operates in. These factors can then be used as a guide throughout the analysis.
Once you have this criteria, you can make an accurate and effective assessment of the company’s risk potential.
If you want to learn more about being an effective credit analyst and need to be trained up quickly, you’ll be interested in this Credit Analysis training course.
That’s it for the first tip. Catch tip #2 in the series.