Credit Loss Accounting
Rooted in decades of fixed-income analytics for investors at global institutions, Edge delivers audit-ready credit loss accounting for all debt securities, major loan types, and more. It covers:
Loans, held-to-maturity (HTM) debt securities, receivables, and other financial instruments carried at cost under ASC 326-20 (“CECL”)
Available-for-sale (AFS) debt securities under 326-30 and the 320-10 (OTTI) framework
Edge automates the process illustrated below to turn around granular credit loss estimates for large portfolios on tight deadlines, while preserving user discretion and explainability of results:
Many asset classes
ASC 326-20 (“CECL”), 326-30, and 320-10 (“OTTI”)
Fully documented, SOC 1 and SOC 2 Certified application
Credit and call/prepay model selections or overrides
Loans only: Accounting elections
Portfolio by feed or file
Terms, conditions, asset descriptions
Securities only: AFS impairment screen
Default, Severity, Call/Prepay Rates
Model results or user overrides
Structured securities only: underlying collateral is modeled
Cash Flow Engine
Integration of terms and conditions and default, severity, and call/prepay rates expected cashflows, losses
Accounting Rules Engine
Translation of forecast to book entries per accounting rules
Day 1 or Day 2 outputs
Loans only: Mgmt. allowance adjustments
Export or feed
SOC 1 and 2 Certified
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