- David Asermely, Solution lead, Model risk management, SAS
- Keith Garbutt, Head of independent model review, HSBC
- Jon Hill, Head of New York chapter, Model Risk Managers International Association
- Moderator: Aaron Woolner, Contributing editor, Risk.net
The application of model risk management (MRM) is becoming increasingly important for banks as reliance on models to meet regulatory challenges and improve business performance increases.
As banks become more dependent on models for pricing, risk, capital, stress testing and performance optimisation, boards are demanding a clearer view of how much risk these models entail and their implications for their banks’ financial positions.
This webinar explores the opportunities and challenges of MRM across capital planning, balance sheet management, and multiple risk exposure and advancing technology to prepare for market changes.
Key topics discussed:
- The impact of growth in financial models on banks – and the emerging risks
- The challenges and best practices that have emerged with the development, monitoring and maintenance of new models
- The extent to which regulatory initiatives such as SR 1-7 and the Targeted Review on Internal Models have improved standards
- Network review versus independent model review – how leading banks are managing interconnected risk
- Recent advancements in machine learning interpretability techniques and the main considerations for its adoption.