The current environment is forcing institutions to look for help with navigating the challenges they face every day. The answers may be found within the models they use for risk management purposes, but how reliable is the information these models currently provide?
Model validations have historically focused on compliance – a more “check-the-box” approach to ensure the process is in line with regulatory expectations. However, one can have a fully compliant model that does not provide the information needed to adequately affect decision-making for profit optimization and risk mitigation strategies. Institutions can better unleash the true power of models through a more integrated approach at ALCO. Using that same approach with a validation can help you get there.
Attendees of this timely session will gain strategic perspective on: