PK Air Finance: Risk modelling and financing aircraft

Company Profile

PK Air Finance is a leading provider and arranger of asset based financing of commercial jet aircraft. The company works alongside airlines, aircraft traders, lessors, investors, financial institutions and manufacturers worldwide.

The Situation

Profitable aircraft financing is significantly influenced by the timing of an investment. To help assess aircraft-backed loans and investments, PK wanted to build a sophisticated financing evaluation model and required independent and authoritative aircraft and engine valuations data to channel into the prototype.

The Solution

Ascend commands widespread respect for the accuracy and credibility of its industry data. Ascend’s data sources can be accessed via its suite of online databases, Ascend V1 and Ascend Online Fleets or through bespoke advisory assignments.

PK AirFinance selected Ascend as the preferred supplier of industry data to underpin the creation of their financing evaluation model - SAFE™ (Statistical Aircraft Financing Evaluation). Ascend’s aircraft and engine valuation data and aviation fleet information are a key component of SAFE™, which predicts expected aircraft resale prices over time.

The Result

The SAFE™ model enables PK AirFinance to better evaluate aircraft investments and quantify deals. Ascend continues to work with PK AirFinance to ensure the validity of the model and the successful measurement of risk and reward scenarios in the field of commercial aircraft finance.