Risk Management case studies, worked step by step

Cases
100
Traced to a firm
19
Topics
13
Hard
30
Topic
All topicsCapital and regulation8Corporate credit and ratings10Counterparty risk and CVA7Hedging a book8Investment and portfolio risk8Liquidity risk and ALM8Market risk limits and VaR7Model risk and validation8Operational risk and loss events8Project and real asset finance7Retail and portfolio credit8Stress testing and scenarios7Structured finance and securitisation6
Level
AnyWarm upCoreHard
Source
AnyReported at a firmStandard
Showing 1–4 of 4 · filtered from 100Clear filters
  1. 010A 300 MW solar plant sells power at Rs 2.6 a unit and pays Rs 95 crore a year of debt service. Compute its debt service cover in an average year and in a bad-weather P90 year, and judge whether the debt is sized right.Project and real asset financeCoreProject financeRating agency
  2. 035A business park is valued at an 8% cap rate with a 65% loan-to-value covenant. Rates rise and the cap rate moves to 9.5%. What happens to value and LTV, what paydown cures the breach, and what if rents fall too?Project and real asset financeCoreMSCIMumbai · 2015
  3. 060A port company has a Rs 1,200 crore bullet loan at 8.5% maturing in two years and operating cash flow of Rs 180 crore. If refinancing costs 11%, what happens to its interest burden and cover, and what should the lender require now?Project and real asset financeCoreProject financeTreasury and ALM
  4. 097A hydro project sells all its power to one state distribution company, which now pays 240 days after billing on Rs 600 crore a year. With Rs 280 crore of annual debt service and a six-month reserve, how much cash is trapped, how long does the reserve last, and what can the lender do?Project and real asset financeCoreProject financeCounterparty risk

Company names and figures are illustrative.