Based on two datasets containing Loss Given Default (LGD) observations of home equity and corporate loans, we consider non-linear and non-parametric techniques to model and forecast LGD. These techniques include non-linear Support Vector Regression (SVR), a regression tree and a two-stage model...

Customer churn prediction models aim to indicate the customers with the highest propensity to attrite, allowing to improve the efficiency of customer retention campaigns and to reduce the costs associated with churn. Although cost reduction is their prime objective, churn prediction models are...