QUESTION 5 The financial crisis has put credit risk management into the regulatory spotlight and financial institutions have had to adopt new processes and practices to understand their exposure and likelihood of a financial loss Explain why and how banks have built credit risk models to measure the probability of a borrower defaulting on their debt obligations and how these analytic techniques are used to manage a credit portfolio In your answer please make reference to the different statistical techniques used to develop credit risk models, how these are validated, and discuss the role of different stakeholders in the development process