Objectives On completion of this tutorial, you will be able to:

• Recognize the key stages involved in effectively managing credit risk mitigation (CRM)
• Identify the key requirements in relation to CRM prior to drawdown of credit facilities as well as post-drawdown
• Determine the process for realizing both funded and unfunded mitigation

Tutorial Overview This tutorial looks at the key stages involved in effectively managing mitigants taken in support of a loan or other credit facility. It begins by outlining the assessment and approval stages of proposed mitigation, and the differences between disclosed and undisclosed mitigation. The importance of legal certainty and enforceability of mitigation is explained, as are the capital eligibility requirements under the Basel framework. Subsequent topics describe the key requirements in relation to CRM both before and after drawdown of credit facilities, as well as the process of actually realizing mitigation when necessary to do so. Prerequisite Knowledge Credit Risk Mitigation - Other Types of Mitigant Tutorial Level: Intermediate Tutorial Duration: 60 minutes