The effectiveness of using statistical solutions as a decision-making support tool for companies is becoming more widely recognized in various fields, partly due to the recent development of AI. In particular, statistical tools have been used in the credit risk management field by credit management departments of financial institutions and business companies for some time.

JCR is a group of experts in credit risk, and we are applying the techniques and knowledge we have cultivated over many years of credit rating business in a variety of ways. In particular, in order to meet the needs for statistical solutions, we provide our independently developed credit risk estimation model and offer services of support for constructing individual models.

JCREST was developed by applying the academic financial engineering techniques of the time to the know-how of financial institutions for evaluating credit risk of companies.

JCREST is a statistical model that estimates probability of default of small and mediumsized enterprises, and since the development, it has been renewed by knowledge from the field of lending operations, statistical modeling techniques introduced by various banks under Basel II, etc., and has been maintained to this day through verification and analysis using the latest data annually.

• Credit screening and credit monitoring at financial institutions
• Credit management operations at general business companies

Brochure for JCREST

JCREST models bankruptcy of a typical small and medium-sized enterprise. On the other hand, credit portfolios themselves have various characteristics depending on the type of business, and credit management departments have valuable historical default data in addition to their credit know-how and culture that have been independently accumulated. JCR uses the JCREST construction method as a basis for individually customizing JCREST model in line with the clients' credit management systems, and provides services for constructing independent models optimized for their target credit portfolio.

• You can construct and own a model that reflects your company's historical default results and credit management know-how.
• Using explanatory variables that are persuasive in the context of your company will increase the user-friendliness and feeling of agreement for the tool, deepening quantitative understanding of credit risk.
• JCR performs regular verification to check for deterioration of the statistical model over time, and at the same time detects changes in credit risk in your company's credit portfolio.

Model Construction Flow