A J2EE-based Credit Risk Management System

Today, the financial risk has become most important factor that impacts the stable economic development all over the world. As credit risk has becomes the most potential causing of next serious global financial crisis, credit risk management becomes more and more important. Many current electronic credit risk monitoring systems can only monitor an isolated trading market, so they can not merge global trading information in real time, which will not meet the real-time risk monitoring requirements of the modern commercial banks. And as the rapid development of the financial market tools, many of current systems can not adapt the new financial environment anymore. So a system that can continuously monitor the global financial market and the new financial tools' trading must be operational significant.As this paper shows, I designed a J2EE-based credit risk monitoring system with many popular programming framework and design patterns integrated, based on the trading environment analysis of a multinational commercial bank. This system collects global market trading information and the counterparties' status in real time, calculates the credit formula, generates risk reports, and points out the current credit risks, which achieves the 24-hour global-market monitoring purpose.This paper presents the function, the architecture, the development environment, the key technologies, the main processes and the functional testing of the designed system. By detailed requirements analyzing and code structure explaining covering credit formula setting, validating and calculating process, it presents the quantitative evaluation method of the system. And by the gratifying results of the functional testing, it presents the feasibility of the system.