Optimizing CECL: Moving from no losses to an integrated risk framework

For financial institutions who are complying with CECL and have no meaningful losses or loan history, getting started can seem overwhelming. However, benchmark data can provide a useful starting point for an informed CECL estimate at both the input and output level.

Additionally, while the estimation of loan loss reserves is an accounting exercise, it is also a critical part of risk modeling for financial institutions. While the ACL absorbs expected credit losses, there can also be a financial impact through required provisions to and from the reserve and deteriorating credit conditions in the loan portfolio (evidenced through downward risk rating migration).

Join experts from Abrigo and Trepp on this webinar to learn:

  • How to get started with no meaningful loan data or losses
  • Ways to apply a simplified scorecard approach to help inform reasonable CECL estimation
  • The influence CECL should have on other credit risk and lending operations

Meet Your Presenters

Garver Moore

Garver Moore brings a decade of enterprise software, analytic, and advisory experience to Abrigo’s advisory team. Prior to joining Abrigo, Garver was  a Technical Consultant with Accenture, and he later worked with C-suite executives on technology strategy and delivery as a Managing Partner of the Orange Advisory Group. Today, as the Managing Director of the Advisory Services Group, Garver collaborates with internal product specialists on our market offerings and helps clients develop strategies to better navigate federal regulations and optimize their institutions for growth. Garver earned his bachelor’s degree in electrical and computer engineering from Duke University.

Full Bio

Joseph McBride-Meara, CFA

Joseph McBride, Head of CRE Finance at Trepp, is a key leader of the firm’s research, analysis, and product development initiatives. His market analysis is frequently cited in publications and other media that monitor the commercial real estate (CRE) market. Mr. McBride also helped to develop Trepp’s proprietary CRE Default Model for use in for use in stress testing and CECL reserving.

Full Bio

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