8:00 Registration and breakfast | 8:50 Chair’s Opening Remarks

Moderated by: Varun Kumar Singh, Head – Corporate LendingUnion Bank of India UK

GLOBAL RECOVERY – PANEL DISCUSSION

9:00 Managing changes to credit risk landscape as Covid-19 recovery continues

  • Managing capital structure and debt post Covid-19
  • Changing behaviors of consumers as a result of the pandemic
    • Retail shift to online
  • Erosion to capital earnings as a result of inflation
  • Improvements in vulnerable sectors of the economy with recovery
  • Pronounced default risk across sectors of the economy
  • Recovering from unprecedented economic shock
  • Impacts of future waves on credit availability and regulation
  • Managing heightened levels of credit deterioration
  • Driving economic growth to counteract reduction in government relief
  • Determining risk appetite in post covid environment

Jerome Henry, Principal Advisor, ECB
David Harrison, Head of Credit Risk UK, Société Generale

POOL RATING MODELS

9:45 Validation in the context of pool rating models for low default portfolios

  • Pool Models – the overall idea
  • Validation at Pool Level
    • Enhanced validation options
    • Focus on Representativeness
    • Division of tasks in model validation
  • From another angle – Validation of Pool Rating Models at KfW IPEX
    • Incorporating pool validation results
    • Performing own validation
    • Collaboration with RSU
Dr. Vedrin Šahović, Director Credit Risk & ICAAP, KfW IPEX
Tobias Noll, Deputy head Marketing & Sales, RSU Rating Service Unit

10:20 Morning refreshment break and networking

REGULATION – PANEL DISCUSSION

10:50 Reviewing the global regulatory environment and responses to volatility

  • Managing cyclicality in models
  • Data expectations
    • Infrastructure limitations in Covid-19 to capture data
  • Changes to buy now pay later regulation
  • Affordability assessment requirements and complexity
    • Validating data without disrupting customer journey
    • Technology challenges to verify affordability
  • Evolving regulatory environment across Europe and UK

Germar Knochlein, Head of Division, ECB
Andreea PetreanuHead of Credit Risk Management, Mizuho
Frederico DinizHead of Organic Lending Impairment, Starling Bank

INTEREST RATES

11:35 Adapting to a changing interest rate environment and managing risk as volatility continues

  • Addressing the increased volatility and uncertainty on over leveraged business’
  • Managing post-pandemic pressures on interest rates
  • Correlation between inflation and interest rates
  • How reviewing interest rates could impact economic growth

Cédric CavallierSenior Business Development ConsultantActiveViam

12:10 Lunch break and networking

ESG – PANEL DISCUSSION

1:10 Reviewing ESG and climate risk commitments and implementation requirements

  • Updating commercial strategy in line with ESG expectations
  • Sustainability and social responsibility of lenders to meet commitments
  • Identifying reliable data from a range of sources
  • Achieving net zero within financial services and measuring progress
  • Enhancing transparency on ESG ratings and measurement approaches
  • Benchmarking progress and demonstrating commitment
  • New asset classes and movement towards green investments

Andreea Petreanu, Head of Credit Risk Management, Mizuho

ESG CONTINUED

1:55 Driving change and updating strategy to align with industry ESG targets and commitments

  • Reporting and understanding carbon footprint
  • Evolving appetite to lend to certain sectors
    • Associated risks with continuing business with less ‘green’ sectors
  • Risk of credit bubble as leverage flows to certain sectors
  • Managing lending activities in line with consumption and demand
  • Reviewing the interplay between climate risk and credit
  • Understanding and utilizing trends on impact to credit risk
  • Stress test analysis on implications on climate risk
    •  Reviewing physical and transitional risks based on credit risk

David Glendinning, CRO UK, Société Generale

2:30 Afternoon refreshment break and networking

LIBOR

3:00 Reviewing the lessons learnt from transitions away from Libor and progress towards updating contracts

  • Lessons learnt from transition away from Libor
  • Managing use of SONIA and change to calculations
  • Moving towards backwards looking overnight rates
  • Reviewing changes in a post-Libor world
  • Systems and documentation challenges

Varun Kumar Singh, Head – Corporate LendingUnion Bank of India UK

STRESS TESTING

3:35 Counterparty credit risk stress testing

  • Stress testing overview
  • Comparing regulatory stress tests
  • overview of the stress testing lifecycle
  • PRA case study
  • Challenges in stress testing

Rohan Kataria, Head of Traded Risk Stress Testing ExecutionHSBC

4:10 Chair’s closing remarks

4:20 End of Summit