Risk provision is an important topic in all GAAPs.
Nonetheless each GAAP answers the following questions in a different way:
FlexFinance provides the following components as instruments for the configuration, simulation and consideration of risk provisions in financial statements:
For GAAP-specific usage, please refer to the specific sections. For IFRS 9 please refer to IFRS 9 Blueprint Impairment.
The result of the risk provision process in FlexFinance are
These data marts support detailled analyses, for example:
Figure: Transfers between impairment stages (gross basis presentation)
Figure: Movements in allowances and provisions for credit losses