Risk Services



Portrait of Risk Services

Risk Services has over eighty employees in Düsseldorf and London. It is divided into four departments: Rating Services, Risk Control Reporting, Business & Market Data Management and Risk Engines. The unit offers extensive risk management and project management expertise across all risk categories. These include:

  • Rating Services
  • Credit & Counterparty Risk
  • Market Risk
  • Operational & Reputational Risk

Our IT-specialists ensure the development, implementation and maintenance of the Risk Services IT-systems and -modules.

Risk Services offers best practice approaches across the entire risk spectrum:

Our employees have considerable experience in the demanding and diverse aspects of risk management of an international wholesale and investment bank and in the comprehensive servicing of a winding-up agency.

Our services range from the analysis of all risk types over the valuation and modelling of nearly all financial products and key sectors and regions to collateral monitoring. To provide these services, Risk Services uses modern, multi-client capable risk management systems and applications.

Advanced rating methodologies and tools:

We offer advice on rating methodologies and rating processes. Our clients also have access to our web-based “Advanced Rating Tool” for the efficient rating of borrowers, project finance and securitisation transactions.

You will benefit from our long-standing experience as one of the first banks to obtain approval for the advanced internal ratings-based approach (Advanced IRBA). Our rating procedures comprise numerous Probability of Default (PD) models, Loss Given Default (LGD) methods as well as product-specific modelling of the Conversion Factor (CF). Our rating modules for securitisations have been approved for use in the Internal Assessment Approach (IAA) as well as the Supervisory Formula Approach (SFA). We will be pleased to provide you with anonymised data for benchmarking and back-testing purposes.

High quality operational Risk standards:

Our OpRisk/ RepRisk Management offers group-wide, consistent, high quality standards (including both OpRisk Advanced Measurement and Standardised Approaches – AMA and TSA/STA) for fulfilling regulatory and customer requirements. Moreover, we offer advice in structuring and implementing an Internal Control System (ICS), which meets both the international (ISAE 3402) and German standard (IDW PS 951).

Products and Services

Risk Services offers a comprehensive range of risk products and services (BPO & ASP) for banking:



Your Benefits

Risk Services has a strong and proven track-record:

  • Proven methods & systems: Early development of practice-oriented risk and pricing models (starting in the 90s) achieving the earliest possible regulatory approval of advanced approaches. Approaches are open and flexible to meet client-specific needs.
  • Sound risk steering processes across a wide range of products: Long standing and extensive experience with diverse risk steering instruments/ approaches, covering a wide range of products.
  • Modern and integrated IT & Business Platform, benefitting from a high degree of automation. We offer tailor-made Front-to-End insourcing of client business processes as well as customised ASP solutions for single risk systems.
  • Customer-orientation and comprehensive Project Management expertise: Sound service experience and good track record with existing clients. Solutions will be jointly discussed and designed and our long-standing Project Management expertise will ensure a professional implementation.
  • Certified Internal Control System (ICS): Erste Financial Services group-wide control procedure adheres to acknowledged standards (IDW PS 951, ISAE 3402). The mandated audit company has given a positive audit opinion related to the adequacy and effectiveness of our ICS.