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Essay text:
Loan portfolio management (LPM) is the process by which risks that are inherent in the credit process are managed and controlled. Because review of the Loan portfolio management (LPM) process is so important, it is a primary supervisory activity. Assessing Loan portfolio management involves evaluating the steps bank management takes to identify and control risk throughout the credit process. The assessment focuses on what management does to identify issues before they become problems. This paper, written for the benefit of both examiners and bankers, discusses the elements of an effective Loan portfolio management process...
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Common topics in this essay:
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