* The probability of default (PD) refers to the likelihood that a borrower will fail to meet its debt obligations over a specific time horizon. This is a core component in quantifying credit risk exposures.
* Duration of default is not a commonly used term in credit risk analysis.
* Exposure at default (EAD) measures the total value at risk in the event of default but does not directly refer to the likelihood of default.
* Loss given default (LGD) measures the portion of the exposure that is lost when a borrower defaults but does not indicate the likelihood of default.
References:
* How Finance Works: "The risk that the borrower would fail to make full and timely repayments of its financial obligations over a given time horizon typically refers to the probability of default."