Case Study: a global financial services provider improves commercial loan default forecasting with Prevedere

Global Financial Services Provider - Customer Case Study

Prevedere partnered with a global financial services provider facing economic volatility that threatened its commercial lending portfolio. The client’s challenge was to move beyond its ineffective quarterly, national-level analysis. It needed to identify geographic and economic leading indicators for potential loan defaults, understand the impact on its portfolio, and create monthly forecasts to inform its operations and reduce risk.

Prevedere implemented its AI/ML and global data solution to build custom forecast models. The solution analyzed millions of signals to uncover highly predictive leading indicators, such as unemployment by industry and state and consumer sentiment. As a result, Prevedere delivered models that achieved 96.1% forecast accuracy, enabling the client to identify future headwinds months in advance and triple its analysis frequency with monthly alerts, thereby significantly mitigating risk.