Industry-Leading Analytics
Clear Insights Drive Confident Decisions
Predict Financial Risk with Accuracy and Precision
- Identify financially distressed counterparties early enough to take action.
- Focus on your highest-risk relationships.
- Expand your business with low-risk counterparties.
- Leverage our comprehensive data for deeper analysis where it matters most.
Financial Risk Analytics + Descriptive Historical Summaries
We characterize our analytics under two categories: Financial Risk Analytics and Descriptive Historical Summaries.
- Financial Risk Analytics provide forward-looking assessments on counterparties, including bankruptcy prediction, with extensive testing and validation across the business cycle to give you actionable insights.
- Descriptive Historical Summaries provide backward-looking context for how counterparties have performed in the past. For clarity, while understanding past performance is valuable, in volatile environments where the future does not look like the past, relying on such historical summaries can provide hazardous signal and a false sense of security.
The Risk Level is available on 10+ million businesses. Risk Level is based on our Financial Risk Analytics, including:
FRISK® Score
Public Company Risk Captured in Real-Time
Our FRISK® Score model incorporates four powerful risk inputs:
- “Merton”-type model of stock market capitalization and volatility
- Financial ratios, including those used in the Altman Z”-Score Model
- Agency ratings
- Website click pattern data from CreditRiskMonitor® subscribers, representing key credit decision-makers at nearly 40% of the Fortune 1000 plus thousands of other large companies worldwide
Since the start of 2017, the FRISK® Score’s rate of success in capturing public company bankruptcy is 96%.
In any given year, you can count on one hand the times we miss – and in those outlier cases, the circumstances deal with unusual, unforeseen events such as natural disasters and fraud.
PAYCE® Score
Private Company Bankruptcy Prediction without Financial Statements
- Predicts the risk of bankruptcy in the next 12 months with improved accuracy and precision
- Covers more than 330,000 private businesses including nearly all U.S. private companies with annual revenue of $5 million or more
- Captures 80% of all reported bankruptcies within 12 months of scoring
- Distilled highest-risk classification: ~50% of reported bankruptcies scored as PAYCE® "1" or "2" before filing; the group only represents 2.5% of the population
FAST Rating
Financial Analyst Strength Test on Foreign Private Companies with Limited Financial Data
- Measures the financial health of small foreign private companies
- Modeled after the collective intelligence of our expert financial analysts through Reinforcement Learning from Human Feedback (RLHF), a type of machine learning
- Covers 3.5+ million private companies across Europe and Japan
Z’’-Score
Trusted Open Financial Ratio Based Guide
Developed by Dr. Edward Altman of New York University close to 30 years ago, the Z''-Score is an effective financial statement-based bankruptcy model for the manufacturing, merchandising and service sectors.
The Z’’-Score is calculated on a quarterly basis, provided the variables required by the scoring model are reported.
Descriptive Historical Summaries on 4,000,000+ businesses include:
Days Beyond Terms (DBT) Index or Payment Behavior Score
How Punctual Were Companies in Paying Their Recent Bills?
The DBT Index or Payment Behavior Score measures a company's on-time (or late) payment performance using historical payment data. The calculation is based on monthly B2B Accounts Receivable Aging data provided by members of our Trade Contributor Program.
Proven Accuracy
With our proprietary, AI/ML-driven scores, you'll have the most accurate predictions of business failure in the market.
- FRISK® Score / 96% bankruptcy capture rate for publics, 90% for private companies
- PAYCE® Score / 80% bankruptcy capture rate for private companies
These models assess company bankruptcy risk daily and look forward over a 12-month period, with a successful capture considered to provide at least three months of advanced warning.
When it comes to financial risk analytics and descriptive historical summaries, each have their place. But to avoid the worst impacts of bankruptcy and drive growth opportunities, financial risk analytics are the way to go.