Home > Industry Analysis > Research & Analysis > Working Paper Series > Bank Loan Underwriting Practices: Can Examiners’ Risk Assessments Contribute to Early-Warning Systems?

 

 

 

Bank Loan Underwriting Practices: Can Examiners’ Risk Assessments Contribute to Early-Warning Systems?



 
The second bar chart for Figure 1 shows percent correct of asset quality rating prediction. In 1997, Specification 1 was 31.3 percent. Specification 2 was 42.8 percent. Specification 3 was 49.2 percent. Specification 4 was 51.1 percent. In 1998, Specification 1 was 61.3 percent. Specification 2 was 67.2 percent. Specification 3 was 70.8 percent. Specification 4 was 71.8 percent. In 2000, Specification 1 was 66.1 percent. Specification 2 was 71.2 percent. Specification 3 was 77.9 percent. Specification 4 was 77.9 percent. In 2001, Specification 1 was 62.9 percent. Specification 2 was 66.5 percent. Specification 3 was 76.6 percent. Specification 4 was 76.7 percent.
Last Updated 01/13/2004 Questions, Suggestions & Requests