Public Financial Management & Budgeting

Credit Risk Analysis in Distressed Debt, Rating Methodologies, and CDS Training Course

Introduction

Credit risk analysis is a cornerstone of modern financial management, enabling institutions to assess borrower reliability, identify distressed debt opportunities, and evaluate counterparty exposure through sophisticated rating methodologies. With global markets facing volatility, credit default swaps (CDS) have emerged as essential hedging instruments for managing systemic risk. Credit Risk Analysis in Distressed Debt, Rating Methodologies, and CDS Training Course integrates practical tools and advanced strategies to help participants navigate credit ratings, distressed debt restructuring, and CDS valuation with confidence.

Designed for financial professionals, risk analysts, investment managers, and regulators, this course emphasizes credit risk modeling, debt restructuring, counterparty risk management, sovereign risk evaluation, and derivative applications. By combining real-world case studies and best practices, participants will gain in-depth expertise in analyzing distressed debt portfolios, interpreting rating agency methodologies, and using CDS as effective instruments for risk mitigation in todayΓÇÖs complex financial markets.

Programme Curriculum

Credit Risk Analysis in Distressed Debt, Rating Methodologies, and CDS Training Course

Introduction

Course Objectives

Understand the fundamentals of credit risk analysis in global financial markets.
Analyze distressed debt investing strategies and restructuring mechanisms.
Evaluate rating methodologies applied by major credit rating agencies.
Apply quantitative credit risk models for portfolio management.
Assess default probabilities and credit migration risks.
Explore the structure and pricing of credit default swaps (CDS).
Understand the role of credit derivatives in hedging systemic risk.
Examine sovereign credit risk and country ratings.
Apply Basel III/IV frameworks in credit risk regulation.
Interpret market indicators for early warning signals of distress.
Explore counterparty credit risk management in derivative markets.
Study the impact of ESG factors on credit ratings and distressed debt.
Apply case study analysis of real distressed debt and CDS transactions.

Target Audiences

Credit Risk Analysts
Investment Bankers
Portfolio Managers
Rating Agency Professionals
Financial Regulators
Corporate Treasurers
Hedge Fund Managers
Risk Management Consultants

Course Duration: 5 days

Course Modules

Module 1: Fundamentals of Credit Risk Analysis

Principles of credit risk assessment
Key drivers of creditworthiness
Role of default probability and recovery rates
Credit risk in financial markets
Analytical frameworks for risk measurement
Case Study: Credit risk assessment of a corporate borrower

Module 2: Distressed Debt and Restructuring Strategies

Characteristics of distressed securities
Debt restructuring techniques
Legal frameworks in distressed investing
Valuation of distressed debt instruments
Investor strategies in distressed markets
Case Study: Lehman Brothers distressed debt workout

Module 3: Rating Methodologies

Role of rating agencies in financial markets
Sovereign vs. corporate rating methodologies
Internal vs. external credit ratings
Key rating determinants and outlook analysis
Implications of rating downgrades/upgrades
Case Study: Rating methodology applied to GreeceΓÇÖs sovereign downgrade

Module 4: Quantitative Models in Credit Risk

Structural credit risk models (Merton, KMV)
Reduced-form models for default probability
Credit scoring techniques
Credit risk stress testing
Portfolio-level credit risk modeling
Case Study: CreditMetrics application in portfolio risk

Module 5: Credit Default Swaps (CDS)

Structure and mechanics of CDS contracts
Pricing models for CDS
CDS indices and market applications
Hedging credit exposure with CDS
Regulatory implications of CDS trading
Case Study: AIG and CDS during the 2008 financial crisis

Module 6: Counterparty Credit Risk

Understanding counterparty exposure
Netting and collateral management
Wrong-way risk in derivatives trading
Credit Valuation Adjustment (CVA)
Managing exposure in OTC derivatives
Case Study: JPMorganΓÇÖs ΓÇ£London WhaleΓÇ¥ and counterparty risk

Module 7: Sovereign Credit Risk & ESG Factors

Country risk assessment frameworks
Sovereign bond spreads and ratings
Macroeconomic indicators in sovereign analysis
Role of ESG factors in credit risk evaluation
Policy and geopolitical risks
Case Study: Argentina sovereign default analysis

Module 8: Integrated Credit Risk Management

Holistic approaches to credit risk governance
Integration of regulatory frameworks (Basel III/IV)
Credit portfolio diversification strategies
Stress testing and scenario analysis
Early warning systems for credit distress
Case Study: Credit portfolio stress testing in a European bank

Training Methodology

Interactive lectures with real-life examples
Case study analysis of global credit events
Practical workshops on CDS pricing and risk models
Group discussions and problem-solving exercises
Hands-on simulations using credit risk tools

Register as a group from 3 participants for a Discount

Send us an email: info@fineskilltrainingcenter.org or call +254769199797

Certification

Upon successful completion of this training, participants will be issued with a globally- recognized certificate.

Tailor-Made Course

We also offer tailor-made courses based on your needs.

Key Notes

a. The participant must be conversant with English.

b. Upon completion of training the participant will be issued with an Authorized Training Certificate

c. Course duration is flexible and the contents can be modified to fit any number of days.

d. The course fee includes facilitation training materials, 2 coffee breaks, buffet lunch and A Certificate upon successful completion of Training.

e. One-year post-training support Consultation and Coaching provided after the course.

f. Payment should be done at least a week before commence of the training, to Fineskill Training Center account, as indicated in the invoice so as to enable us prepare better for you.

Skills & Software Covered

Credit risk evaluation distressed assets CDS analysis

Programme Fee

Duration: 5 Days

Method: Online or Physical

Online Price: $1,000

Physical Price: $1,500

Certification: Accredited Certificate

View Available Dates 📄 Download Course Outline (PDF)

Available Sessions

Location

Month

Year

Oct 19 2026

19 Oct — 23 Oct 2026

💻 Online / Virtual session

Online $1,000