Concentration Limits

Concentration Limits defines and monitors single-borrower, group, sector and product exposure ceilings against the portfolio, enforcing prudential diversification. Breaches highlight where the lender is over-exposed to one name, sector or product, a key board-level risk control.

Workflow

Define limit lines by dimension (single borrower, group, sector, product).
Set each limit as an absolute amount or % of portfolio/capital.
Review current exposure against each limit.
Investigate and act on any breaches.
Report concentration status to the risk committee.

Fields reference

Every field on this screen, drawn from the live data model.

Field	Type	Required	Description
Threshold % of Portfolio `threshold_pct`	Decimal	—	Maximum exposure as percent of total portfolio
Limit Name `name`	Text	Yes	Limit Name
Company `company_id`	Link → res.company	Yes	Company
Dimension `dimension`	Choice: Economic Sector, Loan Officer, Loan Product, Branch, Single Borrower, Lending Group, Insider Aggregate, Related Party	Yes	Dimension
Action on Breach `breach_action`	Choice: Warn (log activity), Block (raise error), Escalate (compliance task)	Yes	Action on Breach
Sequence `sequence`	Number	—	Sequence
Active `active`	Yes/No	—	Active
Currency `currency_id`	Link → res.currency	—	Currency
Sector `sector`	Choice: Agriculture, Trade, Manufacturing, Services, Transport, Construction, Education, Health	—	Sector
Officer `officer_id`	Link → res.users	—	Officer
Loan Product `product_id`	Link → mfi.loan.product	—	Loan Product
Branch `branch_id`	Link → mfi.branch	—	Branch
Threshold Amount `threshold_amount`	Money	—	Threshold Amount
Current Exposure `current_exposure`	Money	—	Current Exposure
Portfolio Total `portfolio_total`	Money	—	Portfolio Total
Breach % `breach_pct`	Decimal	—	Breach %
Breaching? `is_breaching`	Yes/No	—	Breaching?
Notes `notes`	Long text	—	Notes

Notes & rules

Model: mfi.concentration.limit.
Dimensions: single borrower, group, sector, product.
Often expressed as % of core capital or portfolio.
Prudential / board risk-appetite control.

Technical model: mfi.concentration.limit · Record: Portfolio Concentration Limit