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Workshop on Financial Analysis For Lenders & Fintech Dear Professionals, With the current trends in the economic environment, lending has never been more challenging than this time. Meanwhile, credit offers is one of the main areas most financial institutions (and now extending to some non-financial institutions) make huge profits. As such, Credit Analysts and indeed all lenders need to be equipped with the proper tools and skills to analyse the risks accompanying the processes involved. This training on financial analysis for lenders helps participants to achieve that among other benefits. Workshop Details: Date: November 14th - 15th, 2024 Time: 09:00 AM - 04:00 PM Venue: VIRTUAL Individual Fee: ₦77,500 NB: Fee for CONSULTANTS, MSME, MFB, MFl, MORTGAGE, NGO, FINTECH, STOCKBROKING FIRMS & SIMILAR ORGANIZATIONS: ₦57,500 FURTHER DISCOUNT of 10% for more than 5 participants from the same organization. COURSE OBJECTIVES Participants will be equipped with the capabilities required to analyze the financial health of a potential borrower. Participants will be able to analyse financial status of borrowers for lending decisions Perform cash flow analysis for the customer accurately given customer financial data Analyze a corporate cash flow statement Analyze the financial ratios in context with business and industry analysis given industry and market information Participants will be equipped with the knowledge of how to monitor performance of loans. Participants will be able to identify red flags that must be carefully analyzed before making the credit decision FOR WHO: Credit Officers of Financial / Non-Financial Institutions FINTECH organizations and other Emerging Lenders / Financiers Risk Managers of Financial / Non-Financial Institutions Auditors, Internal Control & Compliance staff of Financial / Non-Financial Institutions Relationship Managers & Officers of Institutions in credit related businesses Staff of organizations in credit related businesses Staff of Commercial & Mortgage Banks and Development Finance Institutions Staff of Micro-Finance Banks and Institutions MFBs & MFIs Staff of BANKS or institutions offering Non Interest Lending Products Regulatory bodies of financial Institutions (NDIC, CBN) Financial & Non-Financial NGOs Other interested stakeholders REGISTRATION: To secure your spot, please register via: https://lnkd.in/dDSrccKG with your full name, contact details, and organization information. Early registration is recommended as space is limited. For further inquiries and reservations, please contact us at info@aermp.org or call 02012911182 | +234 9038992735 | +234 7088905252 (WhatsApp) | +234 7062205563. Don't miss this opportunity to enhance your skills and advance your career in risk management! Best regards, AERMP TEAM

Workshop on Financial Analysis For Lenders & Fintech Dear Professionals, With the current trends in the economic environment, lending has never been more challenging than this time. Meanwhile, credit offers is one of the main areas most financial institutions (and now extending to some non-financial institutions) make huge profits. As such, Credit Analysts and indeed all lenders need to be equipped with the proper tools and skills to analyse the risks accompanying the processes involved. This training on financial analysis for lenders helps participants to achieve that among other benefits. Workshop Details: Date: November 14th - 15th, 2024 Time: 09:00 AM - 04:00 PM Venue: VIRTUAL Individual Fee: ₦77,500 NB: Fee for CONSULTANTS, MSME, MFB, MFl, MORTGAGE, NGO, FINTECH, STOCKBROKING FIRMS & SIMILAR ORGANIZATIONS: ₦57,500 FURTHER DISCOUNT of 10% for more than 5 participants from the same organization. COURSE OBJECTIVES Participants will be equipped with the capabilities required to analyze the financial health of a potential borrower. Participants will be able to analyse financial status of borrowers for lending decisions Perform cash flow analysis for the customer accurately given customer financial data Analyze a corporate cash flow statement Analyze the financial ratios in context with business and industry analysis given industry and market information Participants will be equipped with the knowledge of how to monitor performance of loans. Participants will be able to identify red flags that must be carefully analyzed before making the credit decision FOR WHO: Credit Officers of Financial / Non-Financial Institutions FINTECH organizations and other Emerging Lenders / Financiers Risk Managers of Financial / Non-Financial Institutions Auditors, Internal Control & Compliance staff of Financial / Non-Financial Institutions Relationship Managers & Officers of Institutions in credit related businesses Staff of organizations in credit related businesses Staff of Commercial & Mortgage Banks and Development Finance Institutions Staff of Micro-Finance Banks and Institutions MFBs & MFIs Staff of BANKS or institutions offering Non Interest Lending Products Regulatory bodies of financial Institutions (NDIC, CBN) Financial & Non-Financial NGOs Other interested stakeholders REGISTRATION: To secure your spot, please register via: https://lnkd.in/dDSrccKG with your full name, contact details, and organization information. Early registration is recommended as space is limited. For further inquiries and reservations, please contact us at info@aermp.org or call 02012911182 | +234 9038992735 | +234 7088905252 (WhatsApp) | +234 7062205563. Don't miss this opportunity to enhance your skills and advance your career in risk management! Best regards, AERMP TEAM

Workshop on Financial Analysis For Lenders & Fintech Dear Professionals, With the current trends in the economic environment, lending has never been more challenging than this time. Meanwhile, credit offers is one of the main areas most financial institutions (and now extending to some non-financial institutions) make huge profits. As such, Credit Analysts and indeed all lenders need to be equipped with the proper tools and skills to analyse the risks accompanying the processes involved. This training on financial analysis for lenders helps participants to achieve that among other benefits. Workshop Details: Date: November 14th - 15th, 2024 Time: 09:00 AM - 04:00 PM Venue: VIRTUAL Individual Fee: ₦77,500 NB: Fee for CONSULTANTS, MSME, MFB, MFl, MORTGAGE, NGO, FINTECH, STOCKBROKING FIRMS & SIMILAR ORGANIZATIONS: ₦57,500 FURTHER DISCOUNT of 10% for more than 5 participants from the same organization. COURSE OBJECTIVES Participants will be equipped with the capabilities required to analyze the financial health of a potential borrower. Participants will be able to analyse financial status of borrowers for lending decisions Perform cash flow analysis for the customer accurately given customer financial data Analyze a corporate cash flow statement Analyze the financial ratios in context with business and industry analysis given industry and market information Participants will be equipped with the knowledge of how to monitor performance of loans. Participants will be able to identify red flags that must be carefully analyzed before making the credit decision FOR WHO: Credit Officers of Financial / Non-Financial Institutions FINTECH organizations and other Emerging Lenders / Financiers Risk Managers of Financial / Non-Financial Institutions Auditors, Internal Control & Compliance staff of Financial / Non-Financial Institutions Relationship Managers & Officers of Institutions in credit related businesses Staff of organizations in credit related businesses Staff of Commercial & Mortgage Banks and Development Finance Institutions Staff of Micro-Finance Banks and Institutions MFBs & MFIs Staff of BANKS or institutions offering Non Interest Lending Products Regulatory bodies of financial Institutions (NDIC, CBN) Financial & Non-Financial NGOs Other interested stakeholders REGISTRATION: To secure your spot, please register via: https://lnkd.in/dDSrccKG with your full name, contact details, and organization information. Early registration is recommended as space is limited. For further inquiries and reservations, please contact us at info@aermp.org or call 02012911182 | +234 9038992735 | +234 7088905252 (WhatsApp) | +234 7062205563. Don't miss this opportunity to enhance your skills and advance your career in risk management! Best regards, AERMP TEAM

2 DAYS TO GO! Workshop on Financial Analysis For Lenders & Fintech Dear Professionals, With the current trends in the economic environment, lending has never been more challenging than this time. Meanwhile, credit offers is one of the main areas most financial institutions (and now extending to some non-financial institutions) make huge profits. As such, Credit Analysts and indeed all lenders need to be equipped with the proper tools and skills to analyse the risks accompanying the processes involved. This training on financial analysis for lenders helps participants to achieve that among other benefits. Workshop Details: Date: November 14th - 15th, 2024 Time: 09:00 AM - 04:00 PM Venue: VIRTUAL Individual Fee: ₦77,500 NB: Fee for CONSULTANTS, MSME, MFB, MFl, MORTGAGE, NGO, FINTECH, STOCKBROKING FIRMS & SIMILAR ORGANIZATIONS: ₦57,500 FURTHER DISCOUNT of 10% for more than 5 participants from the same organization. COURSE OBJECTIVES Participants will be equipped with the capabilities required to analyze the financial health of a potential borrower. Participants will be able to analyse financial status of borrowers for lending decisions Perform cash flow analysis for the customer accurately given customer financial data Analyze a corporate cash flow statement Analyze the financial ratios in context with business and industry analysis given industry and market information Participants will be equipped with the knowledge of how to monitor performance of loans. Participants will be able to identify red flags that must be carefully analyzed before making the credit decision FOR WHO: Credit Officers of Financial / Non-Financial Institutions FINTECH organizations and other Emerging Lenders / Financiers Risk Managers of Financial / Non-Financial Institutions Auditors, Internal Control & Compliance staff of Financial / Non-Financial Institutions Relationship Managers & Officers of Institutions in credit related businesses Staff of organizations in credit related businesses Staff of Commercial & Mortgage Banks and Development Finance Institutions Staff of Micro-Finance Banks and Institutions MFBs & MFIs Staff of BANKS or institutions offering Non Interest Lending Products Regulatory bodies of financial Institutions (NDIC, CBN) Financial & Non-Financial NGOs Other interested stakeholders REGISTRATION: To secure your spot, please register via: https://lnkd.in/dDSrccKG with your full name, contact details, and organization information. Early registration is recommended as space is limited. For further inquiries and reservations, please contact us at info@aermp.org or call 02012911182 | +234 9038992735 | +234 7088905252 (WhatsApp) | +234 7062205563. Don't miss this opportunity to enhance your skills and advance your career in risk management! Best regards, AERMP TEAM

THE EVOLVING ROLE OF CREDIT PORTFOLIO MANAGEMENT Banks can no longer manage loan books in isolation. A new survey reveals how portfolio managers are dealing with growing complexity. Credit portfolio management (CPM) is a key function for banks (and other financial institutions, including insurers and institutional investors) with large, multifaceted portfolios of credit, often including illiquid loans. Historically, its role has been to understand the institution’s aggregate credit risk, improve returns on those risks—sometimes by trading loans in the secondary market, and hedging—and identifying and managing concentrations of risk. In contrast to traditional origination and credit risk-management functions that look only at individual deals or borrowers, CPM looks across the entire credit book. The financial crisis of 2007 changed the way most functions at these institutions operate, and CPM is no exception. The historical role of CPM remains. However, new regulatory requirements, especially with respect to capital and liquidity, increasing cost and margin pressure, and changed market conditions have pushed CPM into a broader role with the need to align closely with other areas, such as finance, treasury, risk data and methodology, and business-origination functions. To understand exactly how the role of CPM is evolving, McKinsey, in collaboration with the International Association of Credit Portfolio Managers (IACPM),1 conducted a survey of 41 financial institutions around the world (see sidebar, “About the survey”). We asked what changes were afoot, what CPM’s mandate should be, how it should be organized to deliver on that mandate, and what tools and analytics were required. Infact it was discovered that there is broad agreement on the need for change—and change is under way in many institutions. Just as there has never been a unique template for the CPM function, there is no consensus on how it will evolve. Much will depend on the institution and its business model. The results point, though, to certain trends. And they highlight the choices that senior managers in banking, asset management, and insurance will have to make to adapt and shape their CPM functions for high performance. Why CPM’s role is evolving While several factors came to light, institutions identified three main reasons for the changes in CPM’s role. Capital and liquidity constraints Some 85 percent of institutions surveyed said that regulations relating to the levels of capital and liquidity that banks must hold—and the prospect of even tighter regulation ahead—were the main reason. Institutions need to restructure their balance sheets to achieve required target ratios, optimize the use of capital, and help drive profitability. As the largest component of the balance sheet is typically the credit book, they are looking to draw on CPM’s unique portfolio-management expertise, and to encourage CPM to influence loan origination as well as asset sales.

3 DAYS TO GO! Workshop on Financial Analysis For Lenders & Fintech Dear Professionals, With the current trends in the economic environment, lending has never been more challenging than this time. Meanwhile, credit offers is one of the main areas most financial institutions (and now extending to some non-financial institutions) make huge profits. As such, Credit Analysts and indeed all lenders need to be equipped with the proper tools and skills to analyse the risks accompanying the processes involved. This training on financial analysis for lenders helps participants to achieve that among other benefits. Workshop Details: Date: November 14th - 15th, 2024 Time: 09:00 AM - 04:00 PM Venue: VIRTUAL Individual Fee: ₦77,500 NB: Fee for CONSULTANTS, MSME, MFB, MFl, MORTGAGE, NGO, FINTECH, STOCKBROKING FIRMS & SIMILAR ORGANIZATIONS: ₦57,500 FURTHER DISCOUNT of 10% for more than 5 participants from the same organization. COURSE OBJECTIVES Participants will be equipped with the capabilities required to analyze the financial health of a potential borrower. Participants will be able to analyse financial status of borrowers for lending decisions Perform cash flow analysis for the customer accurately given customer financial data Analyze a corporate cash flow statement Analyze the financial ratios in context with business and industry analysis given industry and market information Participants will be equipped with the knowledge of how to monitor performance of loans. Participants will be able to identify red flags that must be carefully analyzed before making the credit decision FOR WHO: Credit Officers of Financial / Non-Financial Institutions FINTECH organizations and other Emerging Lenders / Financiers Risk Managers of Financial / Non-Financial Institutions Auditors, Internal Control & Compliance staff of Financial / Non-Financial Institutions Relationship Managers & Officers of Institutions in credit related businesses Staff of organizations in credit related businesses Staff of Commercial & Mortgage Banks and Development Finance Institutions Staff of Micro-Finance Banks and Institutions MFBs & MFIs Staff of BANKS or institutions offering Non Interest Lending Products Regulatory bodies of financial Institutions (NDIC, CBN) Financial & Non-Financial NGOs Other interested stakeholders REGISTRATION: To secure your spot, please register via: https://lnkd.in/dDSrccKG with your full name, contact details, and organization information. Early registration is recommended as space is limited. For further inquiries and reservations, please contact us at info@aermp.org or call 02012911182 | +234 9038992735 | +234 7088905252 (WhatsApp) | +234 7062205563. Don't miss this opportunity to enhance your skills and advance your career in risk management! Best regards, AERMP TEAM

In 2023, the asset-based lending market saw growth in working capital commitments despite economic fluctuations. While banks experienced soft demand for new business, non-bank lenders are reporting increased demand. The ABL industry appears well-positioned to provide vital working capital support to businesses moving forward. As North America's largest non-bank non-captive financial institution, we have the expertise to help companies optimize their assets, paving the way for new opportunities. To learn more about the possibilities of asset-based lending, check out the ABF Journal's recent article : https://ow.ly/PQFI30sBOiT

Direct Lending: Strong Return Potential Remains for Disciplined Lenders 🚀 If you’re exploring the world of direct lending, this insightful article by Kunal Shah and John Peashey, CFA, on iCapital is a must-read. Key Highlights: 1. Attractive Yields: With benchmark interest rates expected to stay "higher-for-longer," there’s a significant potential for double-digit yields in direct lending. 2. Market Position: Non-bank lenders now dominate the lending landscape, holding $23.2 trillion in loans compared to $12.4 trillion held by banks. 3. Economic Resilience: Despite higher interest rates, corporate defaults remain low, and U.S. middle market private companies are showing strong earnings growth. 4. Origination Volume: There's no shortage of origination opportunities, with leveraged loan volume nearing all-time highs in early 2024. Why Consider Direct Lending? - Enhanced income potential - Diversification benefits - Lower correlation to broader fixed-income assets With strong fundamentals offsetting credit concerns, direct lending continues to be a promising avenue for disciplined investors. 👉 Dive into the full article for a comprehensive analysis: https://lnkd.in/dr6nqir5

In the mortgage and lending industry, distinguishing between Performing Loans (PL) and Non-Performing Loans (NPL) is crucial. The Basics: Performing Loans (PL): These loans are consistently meeting their scheduled payments, presenting a low-risk investment for lenders. Non-Performing Loans (NPL): These loans have fallen behind on payments, typically by 90 days or more, and present a higher risk of default. 𝐓𝐡𝐞 𝐃𝐲𝐧𝐚𝐦𝐢𝐜𝐬 𝐨𝐟 (𝐏𝐋) 𝐚𝐧𝐝 (𝐍𝐏𝐋): 𝐈𝐧𝐬𝐢𝐠𝐡𝐭𝐬 𝐚𝐧𝐝 𝐎𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐢𝐞𝐬 𝐟𝐨𝐫 𝟐𝟎𝟐𝟒 Recent market analyses reveal that while the NPL landscape is evolving, there are notable opportunities, particularly in certain asset classes. Systemic Risk and Market Confidence 🔍 Despite the challenges, current assessments from regulators and banks indicate that systemic risk in the NPL market is manageable. The European Central Bank (ECB) and other regulators have expressed confidence that Non-Performing Exposures (NPEs) are under control, and there is little immediate concern about contagion or widespread financial instability. Challenges and Industry Adjustments ⚙️ The NPL servicing industry is facing significant changes due to an overcapacity of service providers and a shift toward smaller transactions. The previous era of large-scale portfolio sales, which supported numerous advisory firms, is giving way to smaller deals. This transition is causing a reduction in billable hours and prompting a potential consolidation within the servicing industry. Smaller, more flexible advisors are becoming increasingly relevant as the market adjusts to these new dynamics. As the NPL market continues to evolve in 2024, opportunities exist, particularly in distressed office loans and through adaptive strategies in servicing and advisory. Investors who can navigate these challenges effectively may find significant potential for returns in this complex environment. Office Loans as a Key Opportunity 🏢 in the EU, Are they in the US? Thought Leader Feedback Welcome! #NPL #OfficeLoans #MortgageIndustry #InvestmentOpportunities #FinancialStability

Bank Asset Quality # Bank Asset Quality: A Comprehensive Guide to Classifications and Terminology ## Non-Performing Loans (NPLs) ### Definition Loans that are in default or close to being in default, typically when principal and interest payments are 90 days or more past due. ### Key Characteristics - Generally not accruing interest - Require specific loan loss provisions - Impact bank's capital adequacy ratios - May require regulatory reporting ### Regulatory Treatment - Basel standards consider loans 90+ days past due as NPLs - Different jurisdictions may have varying definitions - Usually require higher capital reserves - Subject to enhanced monitoring requirements ## Non-Accrual Loans ### Definition Loans where interest accrual has been suspended due to significant doubt about the borrower's ability to repay. ### Key Features - Interest income not recognized until actually received - Previous accrued but unpaid interest may be reversed - Payments received typically applied to principal first ### Classification Criteria - Generally placed on non-accrual when 90+ days past due - Can be placed on non-accrual earlier if collection doubtful - Some secured loans may continue accruing based on collateral value ## Troubled Debt Restructuring (TDR) ### Definition A loan modification where the lender grants concessions to a borrower in financial difficulty that it wouldn't otherwise consider. ### Common Concessions - Interest rate reduction - Principal forgiveness - Extended maturity - Conversion of debt to equity - Payment deferrals ### Accounting Impact - Must be reported separately in financial statements - May require impairment analysis - Special regulatory reporting requirements - Can affect loan loss reserves ## Special Mention Loans ### Definition Loans that have potential weaknesses that deserve management's close attention but aren't yet classified. ### Characteristics - Currently protected but potentially weak - Signs of deteriorating financial condition - Adverse economic/market conditions impact borrower - Early warning status ### Monitoring Requirements - Enhanced surveillance - Regular review of borrower financials - Industry analysis - Documentation of action plans ## Classified Assets ### Definition Assets rated by regulators or internal review as Substandard, Doubtful, or Loss. ### Categories 1. Substandard - Well-defined weaknesses - Inadequate repayment capacity - Collateral deficiencies 2. Doubtful - Substandard characteristics plus collection highly questionable - High probability of loss - Exact amount unknown 3. Loss - Considered uncollectible - So little value that continuing to carry as asset not warranted - May have some recovery value ### Regulatory Impact - Higher reserve requirements - Impact on capital adequacy - May trigger regulatory actions - Regular reporting requirements See complete post at https://coviproperty.land