Master Counterparty Credit Risk in Excel: EPE, ENE, PFE & EE Explained

[@RyanOConnellCFA]

👨‍💼 Freelance Financial Modeling Services: ► Custom financial modeling solutions tailored for your needs: www.ryanoconnellfinance.com/freelance-finance-services/ 💾 Download Free Excel File: ► Grab the file from this video here: ryanoconnellfinance.com/product/counterparty-credit-risk-excel-spreadsheet/

[@jimherebarbershop8188]

This is 🔥!!!

[@RyanOConnellCFA]

Thank you Peter!

[@goutamsharma07]

thank you ryan , am a frm student from india appearing for my level 1 in may 2025. been binge watching your video. thank you for the content.

[@RyanOConnellCFA]

Good luck with part 1, you will have to come back and let me know how it goes!

[@goutamsharma07]

@RyanOConnellCFA Noted Sir. Btw can you make a video on what a risk managers really do , giving a brief overview on what kind of work one has to do and skills and tools to use it, like a risk management starter pack video so that I can share it to my fellow aspirants as these type of roles are quite niche and CFA is much popular in India especially so there's not much info on risk management roles . Much appreciated, I'll be waiting for the next video.

[@RyanOConnellCFA]

@@goutamsharma07 I can look into this in the future and add it to my backlog of videos! And I think CFA is more popular everywhere, not just India

[@fahadalgaeed8478]

Thank you for all your videos , its realy helped me a lote in my study and my work ❤

[@RyanOConnellCFA]

It is my pleasure!

[@victoricus1]

Hi, appreciate this video! understand that these concepts roughly relate to, for example, CVA and DVA calculations but what are other practical applications? On a similar topic, can you please explain Least-squares Monte Carlo to estimate counterparty risk (maybe in future videos)?

[@RyanOConnellCFA]

These calculations are required in the Basel so that is the main reason most people will be interested in it! I can look into that topic in the future!

[@RithikPrasad-v2x]

Great video as always Ryan !! Can you add Efficient Frontier and Portfolio optimization in python , in your backlog.

[@RyanOConnellCFA]

Thank you Rithik! I have made a popular video on portfolio optimization in Python here: kzbin.info/www/bejne/b3ikY4qijquYeLc I can look into the Efficient Frontier in Python in the future

[@pablomoure2963]

This video came just in time , honestly. Please, if you were to accept a job offer, would you prefer a senior consultant offert in KPMG Risk or a Risk analyst in a CCP? I'm a bit desperate so your opinion truly matters to me . Thanks man

[@RyanOConnellCFA]

Hey Pablo, there are a few additional questions I'd need answered before giving any advice? 1. Which one pays more? 2. Do either seem to expect you to work a lot more hours than the other? 3. Did you like the hiring manager and team members of one job better during the hiring process? 4. Which job description do you find more interesting?

[@pablomoure2963]

@@RyanOConnellCFA I know more information is needed in order to make a decision. 1) CCP pays way better (thou, no raise or promotion in 3 years. 2) You will work way more in KPMG (depends on clients project, but way more as average. 3) I liked those at CCP, don't know yet project team in KPMG 4) CCP job is harder and risk focused, whilst KPMG depends, it may be interesting, or pure garbabe, luck is needed. In conclusion, CCP is a small segment in a big group (swiss six group), high life quality, big pay, no promotion or client contact, but KPMG is more client focus, innovation, bad conciliation, high turnover.. Just want to know your opinion (as I said, it's very hard to know without all of the details) as I appreciate your work a lot (it helped me pass the interviews). Thanks in advance.

[@RyanOConnellCFA]

@@pablomoure2963 That sounds like an easy choice to me! At the end of the day, work is selling your time for money. The CCP pays way more and expects you to work way less hours. You may be making double the hourly rate at the CCP. Throw in the fact that the work is more interesting at the CCP and you liked the people on the team there and that seems like an easy choice. I wouldn't lose any sleep over that decision personally

[@pablomoure2963]

@@RyanOConnellCFA Thank you. Just so you know, everyone tells me the same, confirmation bias really matters in this case. Thanks a bunch¡

[@RyanOConnellCFA]

@@pablomoure2963 Awesome, please let me know what you end up deciding!