Summer is underway and for the Google Summer of Code 2021 season Open Risk is happy to join forces with the Hydra Ecosystem to mentor student projects exploring next generation API's. The project aims to guide students to build a hypermedia enabled REST service around standardized credit portfolio data. More specifically the project will build a REST service as backend for a hypothetical banking entity that collects and disseminates credit portfolio data conforming to an established public standard (the EBA NPL templates).

You can read more about the motivation, objectives and check the status of the project  in the usual place.

In this second Open Risk White Paper on Connecting the Dots we examine various measures of concentration, diversity, inequality and sparsity in the context of economic systems represented as network (graph) structures.

We adopt a stylized description of economies as property graphs and illustrate how relevant concepts can represented in this language. We explore in some detail data types representing economic network data and their statistical nature which is critical in their use in concentration analysis.

We proceed to recast various known indexes drawn from distinct disciplines in a unified computational context.

Graphs have a variety of distinct uses in data science. In this blog post we review various important graph types and sketch their linkages and relationships. The review provides an operational guide towards a better overall understanding of those powerful tools and potential uses in risk management

Dear Academy users, a very short survey about your experience so far to help us improve the platform. It is anonymous and should only take a couple of minutes from your time!

The Open Risk Academy course NPL270672 is a CrashCourse introducing the EBA NPL Templates. We start with the motivation for the templates and the domain of credit data (to which NPL data belongs).

We discuss three core classes that capture the essence of lending operations from a lenders point of view (Counterparty, Loan, Collateral). Next we explore classes that capture events in the lending relationship lifecycle (which we term NPL Scenarios).

We look into the main data types: elementary data types, choice lists, arrays and unstructured text. We close with discussing some more complex issues involving graph and timeseries data.

The course is useful to Developers, Data Scientists and Quantitative Risk Managers that want to work with the EBA NPL Templates. More details about the Course available here.

Earth Day was founded in 1970 as a day of education about environmental issues, and Earth Day 2021 occurs on Thursday, April 22 - the holiday's 51st anniversary. On Earth Day 2020, over 100 million people around the world observed the 50th anniversary in what is being referred to as the largest online mass mobilization in history. The Earth Day 2021 theme is Restore Our Earth.

Celebrating this special occasion, we are today releasing a new tool towards Sustainable Finance. Equinox is an open source platform that supports risk management and reporting of Project Finance. The platform integrates geospatial information with applicable regulatory and industry standards from EBA, PCAF and Equator Principles to provide a holistic view of the footprint of both individual projects and portfolios of project finance investments.

If you are interested to learn more about Equinox and sustainability in the context of Project Finance, the blog post explains more about the motivation and current functionality

The source code is as always in the usual place

Enjoy!