bankstodevelopinternalmodelstobetterquantifyfinancialrisks.TheBaselCommitteeonBankingSupervision,EnglishandNelson,theFederalReserveSystemTaskForceonInternalCreditRiskModels.LopezandSaidenbergandTreacyandCareyrepresentsomerecentdocumentsaddressingtheseissues.Creditscoringhasbothfinancialandnon-financialaspects.Thescopeofthecurrentpaper,however,islimitedtotheevaluationofabankclient'sfinancialperformance.StudiesattemptingtomeasurefirmperformanceonthebasisofqualitativedataareexemplifiedbyBertelsetal.Formalormathematicalmodelingoffinancetheorybeganinthelates.TheworkofMarkowitzrepresentsamajormilestone.Thepracticereachedits“take-off”stageasasub-disciplineofFinanceduringtheearlys.Someoftheearlyeffortsweredirectedatevaluatingafirmforpurposesofmergersandacquisitions;somedealtwithusinginvestmentportfoliostomanas试图研究以衡量公司业绩基础上定性数据。
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