Industry Dynamics And Economic Trends In Credit Assessment

Analyze macro trends, assess high-yield debt, integrate ESG, and apply full credit analysis in real-world cases.

What you'll learn

Analyze macroeconomic and industry factors affecting credit risk across market cycles

Evaluate specialized credit markets including high-yield and distressed debt

Integrate ESG factors into comprehensive credit risk assessments

Execute complete credit analysis projects using professional methodologies

Requirements

**Answer:** No prior credit experience needed. Basic finance familiarity helps, but all tools and concepts are taught in the course.

Description

Credit Analysis in Action: Economic and Industry Essentials is an advanced, hands-on course designed for professionals and students seeking to deepen their understanding of credit risk through macroeconomic, industry-specific, and ESG lenses. Over four focused hours, learners will gain critical insights into the drivers of credit risk and how to apply professional analysis techniques in real-world scenarios.The course begins with a comprehensive exploration of macroeconomic factors—such as interest rates, inflation, and business cycles—and their direct impact on credit quality. Industry-specific risk dynamics are also examined to help learners assess sector vulnerabilities throughout market cycles.In the second module, we dive into specialized credit markets, including high-yield and distressed debt. You’ll learn how to evaluate the risks and rewards of speculative-grade instruments, understand restructuring and recovery processes, and compare them to investment-grade bonds.The third module integrates ESG (Environmental, Social, and Governance) factors into credit analysis, covering how these non-financial elements affect credit ratings and decision-making. Real-world examples and evolving trends provide a practical ESG framework.The capstone module pulls everything together through stress testing, debt covenants, and a complete credit analysis case study. By course end, you will be equipped to conduct holistic credit assessments using professional tools and methodologies.

Overview

Section 1: Macroeconomic and Industry Factors in Credit Analysis

Lecture 1 Introduction to Macroeconomic Risks

Lecture 2 Inflation and Interest Rates

Lecture 3 Economic Cycles and Credit Risk

Lecture 4 Industry-Specific Credit Risks

Lecture 5 Case Study: Credit Risk in a Recession

Lecture 6 Global Risks and Credit Markets

Lecture 7 Probability of Default and Implied Rating Estimation for Corporate Borrowers

Lecture 8 Hands-On-Learning: Evaluating Macroeconomic Risks

Section 2: High-Yield and Distressed Debt Markets

Lecture 9 Introduction to High-Yield Bonds

Lecture 10 Credit Risk in Distressed Debt

Lecture 11 Default Recovery and Restructuring

Lecture 12 High-Yield vs. Investment-Grade Bonds

Lecture 13 Case Study: Investing in Distressed Debt

Lecture 14 Risks and Rewards of High-Yield Investing

Lecture 15 High-Yield Bond: Definition, Types, and How to Invest

Lecture 16 Hands-On-Learning: Analyze a High-Yield Bond Investment

Section 3: Assessing Collateral and Loan Structure in Credit Agreements

Lecture 17 Introduction to Loan Structures

Lecture 18 Secured vs. Unsecured Lending

Lecture 19 Understanding Debt Covenants

Lecture 20 Collateral Valuation and Recovery

Lecture 21 Case Study: Loan Structuring in Practice

Lecture 22 Risks of Weak Loan Structures

Lecture 23 Cash Flow Available For Debt Service (CFADS)

Lecture 24 Hands-On-Learning: Evaluating a Loan Agreement

Section 4: The Role of ESG in Credit Analysis

Lecture 25 Introduction to ESG Factors in Credit Analysis

Lecture 26 Environmental Risk and Credit Ratings

Lecture 27 Social and Governance Factors

Lecture 28 ESG Integration in Credit Ratings

Lecture 29 Case Study: ESG Impact on Corporate Creditworthiness

Lecture 30 Challenges in ESG Credit Analysis

Lecture 31 Credit Ratings, Financial Ratios, and Equity Risk: A Decomposition

Lecture 32 Hands-On-Learning: Evaluating ESG Risks in Credit Analysis

Section 5: Stress Testing and Scenario Analysis

Lecture 33 Introduction to Stress Testing

Lecture 34 Scenario Analysis in Credit Risk

Lecture 35 Key Stress Testing Metrics

Lecture 36 Regulatory Requirements for Stress Testing

Lecture 37 Case Study: Stress Testing a Corporate Credit Portfolio

Lecture 38 Limitations and Challenges in Stress Testing

Lecture 39 Stress Testing and Scenario Analysis in Credit Risk Management

Lecture 40 Hands-On-Learning: Conducting a Stress Test on a Credit Portfolio

Lecture 41 Project: ESG in Credit Risk Assessment

**Answer:** Finance professionals, credit analysts, and business students looking to deepen their credit analysis skills with real-world applications.