This session was recorded in NYC on October 22nd, 2019. Video recording of the session can be viewed here: https://youtu.be/Z0quYTZr6C0 Description: How businesses can recession proof themselves by using the power of the Ascend Analytical Sandbox; and how Experian is leveraging its vast data to make sure every borrower is presented in the best light in front of the lenders. Bio: Ankit is the Product & Innovation Expert at Experian leading the overall roadmap for the Ascend Analytical Sandbox; a one-stop shop for insights, model development, and results measurement.

1. 1 © Experian 19/11/20191 © Experian

2. 2 © Experian
Ascend Analytical Sandbox
19/11/2019 Private and confidential Ascend Technology Platform2 © Experian
Your one-stop-shop for model development,
deployment and results measurement
How can we build
better, more resilient
models?”

3. 3 © Experian
Customer life events during a recession
Unemployment
rate rises
Consumer
purchases
fall off
People lose
their jobs
People lose
their homes
Consumer
Debt soars

4. 4 © Experian 19/11/2019 Private and confidential Ascend Technology Platform
A S C E N D A N A L Y T I C A L S A N D B O X
Next recession – not a matter of “if”,
but “when”
“We forecast U.S. growth to approach 2% in 2020-2021,
close to its steady-state path. However, our Business
Cycle Barometer shows near-term recession risks are
rising. We now put the probability at 30-35% — more than
twice what it was a year ago”
- S&P Global, Oct 1, 2019
“Recession fears have grown in recent months amid a
persistent trade war with China, pullbacks in corporate
hiring and investment and a manufacturing sector that has
already slipped into contraction. The economy is cooling,
but the big question is whether the slowdown will morph
into something darker. Probability of Recession within 12
months is 27%”
- Bloomberg, Oct 14, 2019

5. 5 © Experian 19/11/2019 Private and confidential Ascend Technology Platform
A S C E N D A N A L Y T I C A L S A N D B O X
Next recession – not a matter of “if”,
but “when”
“We forecast U.S. growth to approach 2% in 2020-2021,
close to its steady-state path. However, our Business
Cycle Barometer shows near-term recession risks are
rising. We now put the probability at 30-35% — more than
twice what it was a year ago”
- S&P Global, Oct 1, 2019
“Recession fears have grown in recent months amid a
persistent trade war with China, pullbacks in corporate
hiring and investment and a manufacturing sector that has
already slipped into contraction. The economy is cooling,
but the big question is whether the slowdown will morph
into something darker. Probability of Recession within 12
months is 27%”
- Bloomberg, Oct 14, 2019
Are we well equipped for the downturn?

6. 6 © Experian
Ascend Analytical Sandbox
19/11/20196 © Experian
Your one-stop-shop for model development,
deployment and results measurement
DATA
• ‘Always-on’ secure credit data access that includes:
- Up to 18 years full-file archives of tradeline data
(200+ monthly snapshots and growing)
- Opt-outs
- Thousands of proprietary Experian scores and attributes
- Automatic updates of data monthly
- Easy identification of your company’s lines/loans
- Clarity Data, giving access to about 5 million incremental
customers with information about ‘alternate’ tradelines
- Experian Boosted Score
• Ability to integrate your data, third-party or additional Experian
data, all pinned using our proprietary process
• Depersonalized to support FCRA compliance
TOOLS
• Your choice of industry leading analytics, artificial intelligence,
machine learning, and data visualization tools (R, Python, H2O,
SAS, SAS Viya, Hue, Tableau, etc.)
• Ability to create powerful, interactive dashboards and charts that
put insights into the hands of decision makers in real time
• Easy integration of coded decision objects across multiple
systems
SUPPORT
• Dedicated Experian team for training and ongoing support
• Access to Experian experts in analytics and credit data
modelling to help expand skill sets or increase capacity

7. 7 © Experian 19/11/2019 Private and confidential Ascend Technology Platform
A S C E N D A N A L Y T I C A L S A N D B O X
What use cases aren't there?
Imagine having the ability to have
access to every single tradeline
for every single person in
the United States for the
past almost 20 years and
have your own tradelines
be identified among them.
Imagine what that can do!"
Senior Managing Director
and Head of Model Development
OneMain Financial

8. 8 © Experian
Solution Capabilities
A S C E N D A N A L Y T I C A L S A N D B O X
A S C E N D A N A L Y T I C A L S A N D B O X
A S C E N D D A T A F O U N D A T I O N
Your data | Periodic data refreshes | Credit data | Commercial data | Consumer data | Alternative data | Campaign data
19/11/2019
Save/enable reports, attributes & models
Export models for
integration with
production systems
Upload
campaign results
Model development & deployment Insights & analytics Dashboards & reporting
• Define strategies
• Encode, manage, test and simulate customized
model attributes or scores
• Deploy across systems (e.g., originations,
prescreen, account management, collections)
• Leverage assisted strategy design
(CHAID/CART)
• Assess champion / challenger strategies
• Benchmarking to peers / industry
• Trends in credit line utilization, delinquency
rates, bankruptcy, etc.
• Wallet share: balance, credit limit or spend
(using Experian TAPSSM or EIRCSM)
• New product opportunities
• Account comparisons (e.g., new vs. existing;
current vs. derogatory)
• 360-degree view of customers
• Integrated campaign reporting
• Visibility into off-company accounts
(e.g., lost-opportunity)
• Advanced visualizations for optimized
communication
• Standardize formats
• Self-service
2 31

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A S C E N D A N A L Y T I C A L S A N D B O X
Key Advantages
Deeper insights Speed to market Reduced costs Stay ahead
Your data combined with the
most comprehensive
industry data allows a 360
degree view of the customer,
helps understand customer
value, to build the most
predictive models in the
market today.
Turn on perpetual access to
the right data while
eliminating unnecessary
batch data refreshes and
complex workflows and
inconsistent pinning.
Streamline your operating
environment and ‘turn on’
the most advanced tools
and capabilities instead of
requesting IT investment and
prioritization.
Ensure you always have
access to the latest tools and
technology to compete by
tapping our expertise and
continuous advancement in
analytics and modelling.
$

10. 10 © Experian
Using Machine Learning in Model Development
19/11/2019
A S C E N D A N A L Y T I C A L S A N D B O X
Challenge
To maximize revenue and reduce risk, teams
need to continuously evolve credit policies
using the latest techniques and tools. In
some cases, scorecards may require an
overhaul to drop legacy attributes or
leverage new models.
Simply getting the environment in place to
support the latest tools, such as machine
learning, can be a big capital investment and
IT challenge. In addition, concerns such as
explainability may become a barrier.
Get the most out of the Ascend Analytical Sandbox
How it works
Solution
The Ascend Analytical Sandbox gives teams
ongoing access to the latest tools in an
environment that offers all the data needed to
explore attributes and iterate/ test custom
models.
Teams can leverage machine learning
techniques (e.g., XGB) and other approaches
to gain insights in their efforts to evolve or
rebuild scorecards. Final models can still
retain the transparency required by
compliance.
Benefits
- Eliminate IT /capital investment overhead
required to tap current tools and techniques
- Accelerate core risk modeling lead times
through advanced techniques and elimination
of current archive process
- Stay abreast of and leverage the most current
tools and approaches available
- Deploy more frequent model updates to
maximize acquisition revenue while managing
risk
We ingest and pin your data
and add the additional data
sources you want to use.
Your teams log into a virtual
environment to access the
latest analytics/ML tools.
You analyze the data, deploy ML
techniques and use the insights to
develop your new credit scorecards.
You deploy your new custom
model to gain additional
revenue and reduce risk.

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A S C E N D A N A L Y T I C A L S A N D B O X
Risk Modeling (Random Forest Classifier)
Dependent Variable:
90+ DPD
Premier Attribute Used:
No. of times 30+ DPD in the
last 12 months
Prediction:
Probability of 90+ DPD in the
next 12 months

12. 12 © Experian
Questions?
A S C E N D A N A L Y T I C A L S A N D B O X

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APPENDIX
A S C E N D A N A L Y T I C A L S A N D B O X

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A S C E N D A N A L Y T I C A L S A N D B O X

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17. 17 © Experian Private and confidential Ascend Technology Platform