What is pool category in SAP FS-BA-PM-CR - Credit Risk?

SAP Term: pool category

• Component: FS-BA-PM-CR

• Component Name: Credit Risk

• Description: Categorization for pools containing a mixture of purchased receivables. Governs how such pools are to be treated: As hybrid pools of corporate exposures As hybrid pools of retail exposures As pools that are not hybrid pools

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• Key Concepts: 
  Pool category is a component of the Credit Risk Management (CRM) module in SAP Financial Services (FS-BA-PM-CR). It is used to group together similar credit exposures, such as loans, into a single pool. This allows for easier analysis and management of the credit risk associated with the exposures. 
  
  How to use it: 
  Pool categories are used to group together similar credit exposures in order to better manage and analyze the associated credit risk. The pool categories can be customized according to the user’s needs and can be used to create different types of pools, such as pools for specific industries or regions. The pool categories can also be used to set up different levels of risk management, such as setting up different levels of risk limits for each pool. 
  
  Tips & Tricks: 
  When setting up pool categories, it is important to consider the different types of exposures that will be included in each pool. This will help ensure that the pool categories are set up in a way that will provide the most accurate analysis and management of the associated credit risk. Additionally, it is important to consider how often the pool categories will need to be updated in order to keep up with changing market conditions. 
  
  Related Information: 
  For more information on pool categories and how they are used in Credit Risk Management, please refer to SAP’s documentation on Credit Risk Management. Additionally, there are many online resources available that provide more detailed information on how to set up and use pool categories in SAP Financial Services (FS-BA-PM-CR).