Financial Services · Moraph software

IFRS 9 / CECL Impairment Calculator

Estimate expected credit losses, document every assumption, and close the allowance with evidence

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Overview

What you are buying

The IFRS 9 / CECL Impairment Calculator estimates expected credit losses on your loan and securities portfolios from historical cohort performance, current conditions and reasonable forecasts. It supports CECL methods under ASC 326 and IFRS 9 staging, and keeps the data, model results, qualitative adjustments and approvals for each period together. Your finance team proposes the allowance and your committee approves it, with a record auditors and examiners can follow.

The problem it solves

Many institutions calculate the allowance in spreadsheets linked to loan extracts, with loss rates, forecast assumptions and qualitative adjustments maintained by one or two people. Each quarter-end the data is rebuilt by hand, small changes ripple through formulas nobody fully reviews, and the reasoning behind an adjustment lives in a memo written after the number was chosen. When auditors or examiners ask how a figure was reached, the team reconstructs it rather than showing it.

  • Portfolio data is pulled and reconciled to the general ledger by hand every period
  • Loss rates, forecasts and reversion assumptions sit in spreadsheets with little version control
  • Qualitative adjustments are hard to tie back to the evidence that supports them
  • Audit and exam requests mean rebuilding last quarter's calculation from scratch

Who uses it

  • Controllers and accounting teams who own the allowance for credit losses
  • Credit risk analysts who build loss estimates and forecasts
  • Allowance and audit committees who approve the period's estimate
  • Model risk teams who validate the methods and assumptions
  • Internal and external auditors and examiners, who need to follow each figure to its source

Requirements it supports

FASB ASC 326, Financial Instruments: Credit Losses (CECL)IFRS 9 Financial Instruments, Section 5.5 ImpairmentIFRS 7 Financial Instruments: Disclosures (credit risk)Interagency Policy Statement on Allowances for Credit LossesInteragency Guidance on Model Risk Management (SR 11-7)SEC Staff Accounting Bulletin No. 119

The product supports these requirements; meeting them remains your organization’s responsibility.

See how it works

A short walkthrough

Illustrative screens with fictional sample data. They show the workflow, not any client’s data or configuration, and the layout of the product itself differs. A live demonstration uses the product with sample data.

  1. Step 1

    The period close

    Each period starts from a checklist that shows where the allowance close stands and who signed off each step.

    StepOwnerStatusSign-off
    Load period dataAllowance accountantCompleteSigned
    Reconcile to general ledgerAllowance accountant2 differences openPending
    Run quantitative estimateCredit risk analystCompleteSigned
    Qualitative adjustmentsAllowance accountantIn reviewPending
    Committee approvalAllowance committeeNot startedPending
    Lock periodControllerNot startedPending
    Each period starts from a checklist that shows where the allowance close stands and who signed off each step.

  2. Step 2

    A pool's estimate

    Each pool shows its method, its loss history, the forecast applied and the resulting estimate.

    Commercial real estate, non-owner occupied · Sample quarter

    Method
    Vintage loss rate
    Amortized cost
    $412.6M
    Historical loss rate (lifetime)
    1.84%
    Forecast adjustment
    +0.31%
    Qualitative adjustment
    +0.12% (in review)
    Estimated allowance
    $9.6M

    Assumptions applied

    • Forecast period and reversion as set in the approved assumption library
    • Weighted across baseline, adverse and upside scenarios
    • Three loans individually assessed and excluded from the pool
    Each pool shows its method, its loss history, the forecast applied and the resulting estimate.

  3. Step 3

    Cohort history

    Loss experience is tracked by origination cohort, so the loss curve behind each rate can be inspected.

    Origination yearOriginal balanceCumulative net lossesLoss rate to dateStatus
    Cohort A (fictional)$118.0M$2.4M2.03%Seasoned
    Cohort B (fictional)$96.5M$1.6M1.66%Seasoned
    Cohort C (fictional)$134.2M$1.1M0.82%Maturing
    Cohort D (fictional)$88.9M$0.3M0.34%Limited history
    Cohort E (fictional)$102.7M$0.0M0.00%Limited history
    Loss experience is tracked by origination cohort, so the loss curve behind each rate can be inspected.

  4. Step 4

    A qualitative adjustment

    Each adjustment is tied to a policy factor, with the rationale and evidence, and a reviewer who is not the preparer.

    QA-118 · Commercial real estate, non-owner occupied

    Factor
    Concentrations of credit
    Direction
    Increase
    Amount
    +0.12% of pool balance
    Prepared by
    Allowance accountant
    Reviewer
    Controller
    Status
    Awaiting review

    Supporting evidence

    • Concentration report for the sample quarter (attached)
    • Office property exposure above the policy guideline
    • Credit committee minutes referencing the exposure (attached)
    Each adjustment is tied to a policy factor, with the rationale and evidence, and a reviewer who is not the preparer.

  5. Step 5

    Explaining the movement

    The change from the prior period is broken into its drivers before it goes to committee.

    DriverEffect on allowanceMain pools affected
    Prior period allowance$38.2MAll
    Portfolio growth and mix+$1.1MConsumer auto, CRE
    Credit quality migration+$0.7MCommercial and industrial
    Economic forecast+$0.9MCRE, residential mortgage
    Qualitative adjustments+$0.5MCRE
    Net charge-offs-$0.8MConsumer auto
    Proposed allowance$40.6MAll
    The change from the prior period is broken into its drivers before it goes to committee.

  6. Step 6

    Approval and lock

    The period's approvals are recorded in order, and the locked period can be rerun to reproduce the same figures.

    Sample quarter · Allowance approval

    1. Data reconciled to the general ledger and signed offAllowance accountant
    2. Quantitative estimate run and reviewedCredit risk analyst
    3. Qualitative adjustments acceptedController
    4. Proposed allowance approved for committeeController
    5. Allowance approved, one question recorded and answeredAllowance committee
    6. Period locked and journal entry exportedController
    The period's approvals are recorded in order, and the locked period can be rerun to reproduce the same figures.

Workflows

The principal workflows

  1. Prepare data

    Loan, security and charge-off data from your core and servicing systems is loaded for the period, checked for completeness and reconciled to the general ledger before any estimate is run.

    • Period-end loan, commitment and securities data arrives by scheduled file or API
    • Balances are reconciled to general ledger control accounts and differences listed
    • Data quality checks flag missing risk ratings, dates and collateral values
    • Charge-offs and recoveries are added to the historical cohort history
    • The period's data set is locked once reconciliation is signed off

  2. Estimate

    Each pool is estimated with the method you have chosen for it: vintage or cohort loss rates, probability of default and loss given default, discounted cash flow, or remaining-life approaches, combined with your economic forecasts.

    • Loans are grouped into pools by shared risk characteristics
    • Historical loss experience is calculated by cohort and pool
    • Economic forecasts are applied over your reasonable and supportable period, then reverted to historical experience
    • Under IFRS 9, exposures are staged and 12-month or lifetime losses calculated
    • Individually assessed loans are estimated separately with their own support

  3. Adjust and review

    Qualitative adjustments are entered against the factors your policy lists, each with its rationale and supporting evidence, and reviewed by someone other than the person who proposed it.

    • Preparer proposes qualitative adjustments by pool and factor
    • Each adjustment records its direction, amount, rationale and attachments
    • Sensitivity runs show the effect of alternative forecasts and assumptions
    • A reviewer accepts or returns each adjustment with comments
    • Changes from the prior period are explained in a movement analysis

  4. Approve and report

    The proposed allowance goes to your controller and committee with the movement analysis and supporting reports. Once approved, the period is locked and the journal entry and disclosure data are exported.

    • Committee pack generated from the approved calculations
    • Controller and committee approve the allowance or return it with questions
    • Journal entry file exported for your general ledger
    • Disclosure and regulatory report data produced from the locked period
    • The period is locked and can be reproduced as of that date

Roles and permissions

Who does what in the product

Each role below is a starting point. During implementation we set them up to match your teams, and every action anyone takes is recorded in the audit trail.

Credit risk analyst

Credit risk analyst, CECL analyst, credit loss modeler, portfolio analytics analyst

Builds and maintains the quantitative estimate: pools, methods, loss history, forecasts and sensitivity runs.

Sees

  • Portfolio data, cohort loss history and pool definitions
  • Method settings, forecast scenarios and reversion assumptions
  • Estimate results by pool, stage and scenario
  • Validation findings on the models they maintain

Does

  • Defines pools and proposes the method for each
  • Loads and weights economic forecast scenarios
  • Runs the quantitative estimate for the period
  • Runs sensitivity analysis on alternative assumptions
  • Documents methodology changes and their reasons
  • Responds to validation findings

Cannot

  • Approve a change to a method, pool or forecast setting they proposed
  • Approve qualitative adjustments or the period's allowance
  • Edit data in a locked period
Approvals
Method, pool and forecast changes they propose are approved by the controller before they are used in a period estimate.
Notified about
Data loads ready for estimation, assumption changes approved or returned, and new validation findings.

Allowance accountant

Financial reporting accountant, allowance accountant, senior accountant, accounting manager

Prepares the period: loads and reconciles data, proposes qualitative adjustments and assembles the committee pack.

Sees

  • Period data loads, reconciliation results and data quality exceptions
  • Estimate results, movement analysis and sensitivity runs
  • Qualitative adjustments and their review status
  • Prior periods and their approved figures

Does

  • Loads period data and reconciles balances to the general ledger
  • Resolves or documents data quality exceptions
  • Proposes qualitative adjustments with rationale and evidence
  • Prepares the movement analysis and committee pack
  • Exports the approved journal entry and disclosure data

Cannot

  • Review or approve their own qualitative adjustments
  • Approve the period's allowance
  • Change method or forecast settings
Approvals
Their reconciliation sign-off and qualitative adjustments are reviewed by the controller or another designated reviewer.
Notified about
Data loads completed or failed, reconciliation differences, adjustments returned with comments, and approval of the period.

Controller

Controller, chief accounting officer, CFO, director of financial reporting

Owns the allowance estimate for the financial statements and decides what goes to the committee.

Sees

  • Every pool, estimate, adjustment and sensitivity run for the period
  • Reconciliation sign-offs and open data exceptions
  • The movement analysis and committee pack
  • The full audit trail

Does

  • Approves method, pool and forecast changes
  • Accepts or returns qualitative adjustments
  • Approves the proposed allowance for committee review
  • Locks the period after committee approval
  • Grants auditors and examiners read-only access

Cannot

  • Approve an adjustment they prepared themselves; a second reviewer is required
  • Edit or delete entries in the audit trail
  • Change a locked period without reopening it, which is recorded with a reason
Approvals
Approves assumptions, adjustments and the proposed allowance; the final figure is approved by the allowance committee where your governance requires it.
Notified about
Adjustments and assumption changes waiting for review, committee decisions, and requests to reopen a period.

Allowance committee member

Allowance committee member, chief credit officer, chief risk officer, audit committee liaison

Reviews and approves the period's allowance as part of the institution's governance.

Sees

  • The committee pack, movement analysis and sensitivity results
  • Qualitative adjustments with their rationale
  • Open validation findings and data exceptions

Does

  • Reviews the proposed allowance and supporting reports
  • Records questions and the answers given
  • Records the committee's approval or request for changes
  • Reads prior periods for comparison

Cannot

  • Change data, methods, assumptions or adjustments
  • Lock or reopen a period
  • See periods or portfolios outside the committee's remit
Approvals
The committee's decision is recorded against the period; the controller locks the period only after it is recorded.
Notified about
Committee packs ready for review and responses to their questions.

Model validator

Model risk analyst, model validator, independent review function

Independently reviews the methods, assumptions and results and records findings for management to address.

Sees

  • Method documentation, pool definitions and assumption history
  • Estimate results, back-testing and sensitivity runs
  • Data quality results for each period

Does

  • Reviews methods and assumptions against the institution's model risk policy
  • Compares past estimates with actual losses
  • Records findings with severity and owner
  • Tracks findings until they are closed

Cannot

  • Change methods, assumptions or results
  • Approve the period's allowance
  • Validate a model they built
Approvals
Findings go to the controller and the model owner, who record the response; closure of a finding is confirmed by the validator.
Notified about
Methodology changes, new periods locked, and responses to their findings.

Auditor or examiner (read-only)

Internal auditor, external auditor, regulatory examiner (under temporary access)

Tests the allowance estimate and its controls without being able to change anything.

Sees

  • Locked periods with their data, settings and results
  • Qualitative adjustments, reviews and approvals
  • Assumption change history and validation findings
  • The audit trail

Does

  • Searches and reads records within their scope
  • Reruns a locked period to confirm it reproduces
  • Exports reports and evidence they have access to, with each export logged

Cannot

  • Change, approve or delete anything
  • See periods or entities outside the scope granted
  • Keep access after it expires
Approvals
Their access is approved by the controller or an administrator, with a scope and an end date.
Notified about
Nothing by default; access granted and expiring is confirmed to the person who approved it.

Administrator

Finance systems administrator, application administrator

Manages users, roles, data feeds and configuration without taking part in the estimate.

Sees

  • Users, roles and their scope
  • Data feed schedules and load status
  • The record of permission changes

Does

  • Adds and removes users, or maps them from single sign-on groups
  • Assigns roles and limits them by entity or portfolio
  • Maintains data feed schedules and mappings
  • Runs access review reports

Cannot

  • Change methods, assumptions, adjustments or results
  • Approve or lock a period
  • Grant themselves a finance role without a second approver
Approvals
Role changes that grant approval rights are approved by the controller.
Notified about
Failed data loads, access reviews coming due and accounts not used for a period your policy sets.

Permissions at a glance

ActionRisk analystAccountantControllerCommitteeValidatorAuditorAdmin
Load and reconcile period dataView onlyFullApprovesNo accessView onlyView onlyNo access
Define pools and methodsOwn work onlyView onlyApprovesView onlyView onlyView onlyNo access
Load and weight forecast scenariosOwn work onlyView onlyApprovesView onlyView onlyView onlyNo access
Run the period estimateFullFullFullNo accessView onlyView onlyNo access
Run sensitivity analysisFullFullFullView onlyFullView onlyNo access
Propose qualitative adjustmentsOwn work onlyOwn work onlyFullView onlyView onlyView onlyNo access
Review qualitative adjustmentsNo accessNo accessApprovesView onlyView onlyView onlyNo access
Approve the period's allowanceNo accessNo accessApprovesApprovesNo accessView onlyNo access
Lock or reopen a periodNo accessNo accessFullNo accessNo accessNo accessNo access
Export journal entry and disclosuresNo accessFullFullNo accessNo accessView onlyNo access
Record validation findingsView onlyView onlyView onlyView onlyFullView onlyNo access
Manage users and rolesNo accessNo accessApprovesNo accessNo accessNo accessFull
  • Full
  • Own work only
  • Approves
  • View only
  • No access

How access is controlled

  • Preparation and review are separated: nobody reviews a qualitative adjustment or approves an assumption change they proposed, and validators never validate a model they built.
  • Roles are configured with you during implementation. You can rename them, add custom roles, and limit them by legal entity, portfolio or reporting framework, so a subsidiary's team sees only its own books.
  • Every permission change is recorded in the audit trail with who made it and when, and access review reports list each person's roles for periodic certification by the controller.
  • Staff sign in through your identity provider, and roles can follow its groups. Auditors and examiners get temporary read-only access with a defined scope and an end date, rather than shared accounts.

Features

What it does

Cohort and vintage analysis

Historical losses tracked by origination cohort and pool, so loss curves come from your own experience rather than a spreadsheet rebuilt each quarter.

Multiple estimation methods

Vintage loss rates, PD/LGD, discounted cash flow, remaining-life and WARM approaches, chosen per pool and documented with the reason for the choice.

IFRS 9 staging

Stage 1, 2 and 3 assignment from your significant-increase-in-credit-risk criteria, with 12-month and lifetime losses calculated and stage movements explained.

Forecast scenarios and reversion

Load your economic scenarios, weight them, set the forecast period and reversion approach, and see the effect of each on the estimate.

Qualitative adjustments with evidence

Each adjustment is tied to a policy factor and a pool, with its rationale, attachments, preparer and reviewer recorded.

General ledger reconciliation

Loan balances reconciled to GL control accounts before estimation, with differences listed and signed off.

Sensitivity analysis

Run the estimate under alternative forecasts, weightings and assumptions and keep the results with the period.

Movement analysis

The change in the allowance from the prior period broken down into volume, mix, credit quality, forecast and qualitative effects.

Individually assessed loans

Collateral-dependent and other individually assessed loans estimated separately, with appraisals and support attached.

Period lock and reproduction

Each approved period is locked with its data, settings and results, and can be rerun as of that date to produce the same figures.

Assumption library

Pools, methods, forecast periods, reversion settings and qualitative factors versioned, with who changed them and when.

Committee and disclosure packs

Committee reporting, disclosure tables and regulatory report data produced from the same approved figures.

Integrations

How it connects to your systems

Connects toHowWhat flows
Core banking and loan servicingLoan, commitment, risk rating, collateral and payment data by scheduled file transfer or API, mapped during implementation.In: period-end loan and commitment records, risk ratings, collateral values, charge-offs and recoveries.
General ledgerControl account balances for reconciliation, and the approved allowance entry back to your ledger.In: GL control balances. Out: journal entry file for the approved allowance.
Economic forecastsScenarios from the forecast provider you already use, or your own internal scenarios, uploaded in a standard template.In: macroeconomic variables by scenario and period.
Investment accountingHeld-to-maturity and available-for-sale securities positions, ratings and impairment inputs.In: security positions, amortized cost, fair value and ratings.
Single sign-onStaff sign in through your identity provider (SAML or OpenID Connect).In: user identity and group membership for role assignment.
Model risk managementMethod documentation, assumption history and back-testing shared with Moraph's Model Risk Management (MRM) Validator or your own model inventory.Out: model versions, assumptions, results and validation findings.
Regulatory reportingAllowance figures by loan category for your Call Report or 5300 Call Report, including through Moraph's Automated Call Report Filer.Out: approved allowance and provision data by reporting category.
Work APIPeriod results, adjustments and status available to your data warehouse and reporting tools through the Moraph Work API.Out: estimates by pool and stage, adjustments, approvals and period status.

Each integration is confirmed in discovery and specified in the design. See how an engagement progresses.

Security and privacy

How your data is protected

Single sign-on

Staff sign in through your identity provider, so your password and multi-factor policies apply.

Role-based access

What each person can see and do follows their role and entity; preparing an adjustment is separate from approving it.

Locked periods

Approved periods cannot be changed without a recorded reopening, so reported figures stay tied to the data and settings that produced them.

Encryption and keys

Client data is encrypted, with keys Moraph staff cannot use without explicit, time-bound authorization.

Complete audit trail

Every data load, setting change, adjustment, approval and export is logged with the person and time, and cannot be edited.

Data residency

Data stays in the hosting region you choose: the United States, the United Kingdom or Australia.

Company-wide controls, independent audits (SOC 2 Type II and ISO/IEC 27001) and data residency are described in our Trust Center, where you can request the evidence pack.

Reporting

What you can report on

12 standard reports, grouped by who uses them. Each shows who it is for, how it can be broken down, how it is delivered and what it is used for. The data behind them is also available to your own reporting tools.

Period close

Data reconciliation

For allowance accountants and the controller

Loan and commitment balances loaded for the period against general ledger control accounts, with each difference and its explanation.

Break down by
GL account, Portfolio, Legal entity, Difference status
Delivered as
Live view; CSV and PDF export
Used for
Confirming the estimate starts from complete, reconciled data.

Data quality exceptions

For allowance accountants and credit risk analysts

Records with missing or inconsistent risk ratings, dates, collateral values or balances, and how each was resolved.

Break down by
Exception type, Portfolio, Source system, Resolution
Delivered as
Live view; CSV export
Used for
Clearing data issues before estimation and evidencing how they were handled.

Close checklist status

For controller and allowance accountants

Each step of the period close, from data load to lock, with its owner, status and sign-off.

Break down by
Step, Owner, Status, Legal entity
Delivered as
Live dashboard
Used for
Keeping the allowance close on track and showing who signed off each step.

Management and committee

Allowance summary

For controller, allowance committee, senior management

The allowance and coverage ratio by pool, with the quantitative estimate, qualitative adjustments and individually assessed amounts shown separately.

Break down by
Pool, Stage (IFRS 9), Legal entity, Period
Delivered as
Live dashboard; PDF for committee packs; CSV export
Used for
Presenting the proposed allowance for approval.

Allowance movement analysis

For controller and allowance committee

The change in the allowance since the prior period broken down into volume, mix, credit quality, forecast, qualitative and charge-off effects.

Break down by
Driver, Pool, Period, Legal entity
Delivered as
PDF for committee packs; CSV export
Used for
Explaining why the allowance moved, in terms the committee and auditors can follow.

Scenario sensitivity

For controller, allowance committee, chief risk officer

The estimate under each economic scenario and alternative assumption, compared with the weighted result used.

Break down by
Scenario, Pool, Assumption, Period
Delivered as
Live view; PDF and CSV export
Used for
Understanding how much the estimate depends on the forecast and key judgments.

Regulatory and disclosure

Disclosure tables

For financial reporting team and auditors

Allowance roll-forwards, credit quality by vintage, and IFRS 9 stage movements from the locked period, laid out for your financial statement notes.

Break down by
Portfolio segment, Vintage year, Stage, Credit quality indicator
Delivered as
CSV and spreadsheet export
Used for
Preparing ASC 326 or IFRS 7 disclosures from the same figures that were approved.

Regulatory report data

For regulatory reporting team

Allowance, provision and charge-off figures mapped to the loan categories used in your regulatory reports.

Break down by
Report line, Loan category, Period
Delivered as
CSV export; Work API
Used for
Feeding Call Report or other regulatory schedules without re-keying.

Audit trail extract

For internal audit, external auditors and examiners

Who loaded, changed, proposed, reviewed and approved what for a selected period, pool or adjustment.

Break down by
Period, Record, User, Action
Delivered as
On request in the product; CSV and PDF export
Used for
Answering audit and exam requests for evidence without assembling it by hand.

Model governance

Assumption change history

For controller, model validators, auditors

Every change to pools, methods, forecast settings, reversion and qualitative factors, with who proposed and approved it and the first period it applied to.

Break down by
Assumption type, Pool, Approver, Effective period
Delivered as
Live view; PDF and CSV export
Used for
Showing that methodology changes were deliberate, approved and documented.

Back-testing

For model validators and credit risk analysts

Past period estimates compared with the losses that were later realized, by pool and cohort.

Break down by
Pool, Cohort, Estimate period, Method
Delivered as
Live view; CSV export
Used for
Testing whether methods and assumptions are performing as intended.

Validation findings

For model validators, controller, chief risk officer

Open and closed findings on the allowance models, with severity, owner, response and status.

Break down by
Model, Severity, Owner, Status
Delivered as
Live dashboard; CSV export
Used for
Tracking model issues through to resolution.

Exports, access and evidence

  • Every report can be exported to CSV, and summary and evidence reports to PDF. Reports can be scheduled to arrive by email for the people entitled to see them.
  • Each report can be filtered and the filters saved, so an accountant or the controller can keep their own views. Reports that need a different shape can be built in your own tools from the data described below.
  • Period results, adjustments and approvals are available through the Moraph Work API, and can be delivered to your data warehouse or business intelligence tool alongside other finance and risk data.
  • Reports respect each viewer's role and entity: a subsidiary's accountant sees that subsidiary, the controller sees the whole group, and auditors and examiners can be given read-only access.
  • Reports on a locked period give the same result each time they are run. Running and exporting a report is itself recorded in the audit trail.

Deployment

Where and how it runs

Moraph cloud

Hosted and operated by Moraph in the United States region. United Kingdom and Australia regions are available for institutions reporting under IFRS 9 outside the US.

Dedicated environment

A single-tenant environment for institutions whose policies require isolation, scoped in the proposal.

With a managed service

Optionally run alongside a Moraph managed service for period-close support and platform administration.

Security controls, independent audits and data residency are set out in our Trust Center. Engagement models and what drives a quotation are on Working with Moraph.

Implementation

What a rollout involves

The general phases are on Working with Moraph. For this product, they involve the following.

Data mapping

We map your loan, collateral, charge-off and GL data to the Calculator's model and agree the file or API schedule. We need historical data extracts and a contact from your core-system team.

History and pools

Your historical loss experience is loaded and pools are defined with your credit and accounting teams, based on shared risk characteristics.

Methods and assumptions

Methods, forecast scenarios, reversion settings, staging criteria and qualitative factors are configured to match your allowance policy, and documented for your model risk process.

Parallel periods

The Calculator is run alongside your current process for the periods you choose, and differences are explained before you rely on it.

Workflow and roles

Close steps, review and approval rules, committee reporting and roles are configured to match your governance.

Training and go-live

Analysts, accountants, approvers and committee members are trained on their own steps, and the first live period is closed with Moraph staff available.

Limitations

What it does not do

Worth knowing before you evaluate it.

  • The Calculator produces an estimate; the allowance recorded in your financial statements is your institution's judgment, approved by your own controller and committee.
  • Estimates depend on the quality and length of the loss history and portfolio data you provide. Where your own history is limited, peer or proxy data must be sourced and justified by you.
  • It does not produce economic forecasts. You supply scenarios from your chosen provider or your own economists.
  • It does not post to your general ledger directly; it exports a journal entry file for your team to post.
  • It does not perform fair value measurement or hedge accounting.
  • Methods and assumptions are configured to your policy during implementation; choosing them, and changing them, remains your decision.
  • Using the Calculator does not replace independent model validation or your auditor's testing.
  • It does not file regulatory reports; it produces the data your reporting team uses.

Evaluation checklist

What to test in a demonstration or pilot

Questions worth putting to us, and to any other vendor you are considering.

  1. Load an anonymized extract of one portfolio and its loss history, and compare the estimate with your last approved figure
  2. Ask an accountant to reconcile a period's data to the general ledger and record the differences
  3. Enter a qualitative adjustment and follow it through review and approval
  4. Run a sensitivity analysis on an adverse scenario and review how the result is presented to committee
  5. Rerun a locked period and confirm it reproduces the same figures
  6. Confirm role separation: who can propose, review and approve adjustments and the allowance

Questions

Frequently asked questions

Does it support both CECL and IFRS 9?

Yes. CECL lifetime estimates under ASC 326 and IFRS 9 staging with 12-month and lifetime losses are both supported, and a group reporting under both can run them from the same data.

Can we keep our existing methodology?

Usually, yes. Your current pools, methods and qualitative framework are configured during implementation, and the parallel periods show whether the results match before you rely on them.

Who decides the allowance?

Your institution does. The Calculator produces and documents the estimate; your controller and committee approve the figure that is recorded.

Where do the economic forecasts come from?

From the provider you already use or from your own economists. Scenarios are loaded each period and their weighting is recorded with the estimate.

How is it priced?

As a subscription, usually measured by the size of the institution or the portfolios covered, with implementation charged separately. See Working with Moraph for what drives a quotation.

Is there an accessibility conformance report?

Ask for one through the procurement request form at /how-to-buy/request, naming the version you are evaluating.

Next steps

Evaluate IFRS 9 / CECL Impairment Calculator

Book a demonstration

See the product working with sample data, focused on your workflows.

Request a demonstration

Request a technical briefing

Architecture, integrations, security and hosting, with our engineers and your technical team.

Request a briefing

Factsheet

This page on two sides, to share with colleagues or add to your evaluation file.

Open the factsheet

Buying through a formal procurement? See How to buy for purchasing routes, accessibility conformance reports and company information. Documentation: IFRS 9 / CECL Impairment Calculator guides on docs.moraph.com (getting started and security guides are public; setup, administration and integration guides are for client accounts). Support: IFRS 9 / CECL Impairment Calculator support guide.

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