Job description of credit analyst

Answer 1

Credit analysts (or credit risk analysts) undertake risk assessment analysis of various types of lending proposals from the straightforward to the very complex, which can be for amounts in excess of £50million. Credit analysis offers a variety of career opportunities within the increasingly diverse financial services sector. Credit analysts are employed within a variety of financial institutions ranging from banks (commercial or investment banking) to credit rating agencies and investment companies. The role demands a strong combination of interpersonal, analytical and decision-making skills. The role is very much centred on risk management: risks must be understood and communicated, and credit exposures kept in line with the employer's limit on risk bearing. Typical work activities will depend on the business of the employer and the specific role, but can include: * providing quality service to internal customers through undertaking risk assessment analysis of various types of lending proposals; * analysing financial information, such as statements, management accounts and cash flow statements; * developing models of credit information to predict patterns and trends using specialist statistical software; * assessing the credit worthiness of client companies; * advising and recommending changes to policy and procedure; * liaising with other staff within the company, such as account managers and product specialists; * helping to ensure that procedures comply with sector standards; * staying informed about the legal, compliance and market-risk-related issues involved in the approval of credit. - David A.