Model Risk Management
Empowering effective model risk management for today's regulatory landscape.
Model Risk Management on Connected Risk®, the industry’s leading MRM solution, empowers your model risk team to create and maintain your model inventory using effective workflow management.
With the emergence of new model risks and ever-changing regulatory obligations, you need to understand which model to employ and a comprehensive remediation strategy to avoid reputational damage and fines.
Model Risk Management on Connected Risk® complies with global standards, including the Bank of England’s PRA SS1/23 and Canada’s OSFI Guideline E-23.
Models have become more complex and widespread and the increase in regulatory oversight and governance has grown accordingly.
The regulatory landscape has become increasingly demanding due to the implementation of various frameworks such as the Comprehensive Capital Analysis and Review (CCAR), Fundamental Review of the Trading Book (FRTB), Targeted Review of Internal Models (TRIM), International Financial Reporting Standard 9 (IFRS 9), Supervision and Regulation Letter 11-7 (SR 11-7), and Basel III. This growing pressure has necessitated a robust solution to assist senior managers in comprehending and effectively conveying the employed models to regulators and the board. Connected Risk®’s Model Risk Management Solution plays a pivotal role in this regard by providing the necessary tools and insights. It enables the seamless capture of data, documentation, and any arising issues on-the-go. Moreover, it facilitates enterprise-wide reporting, allowing your organization to maintain a comprehensive inventory of model data.
By leveraging Connected Risk®’s Model Risk Management Solution, senior managers can confidently navigate the intricate world of modeling and ensure effective communication with regulatory bodies and the board. The solution’s capabilities encompass the real-time capture of data, documentation, and emerging issues, providing a comprehensive overview of the organization’s model data. With the ability to capture vital information on-the-go, the solution guarantees that important details are never missed or overlooked. Additionally, it enables enterprise-wide reporting, empowering your organization to maintain a holistic view of its entire inventory of model data. This comprehensive approach facilitates efficient risk management and aids in meeting the regulatory requirements imposed by CCAR, FRTB, TRIM, IFRS 9, SR 11-7, and Basel III.
Model Risk Management on Connected Risk® provides you with a comprehensive approach to model inventory management, enabling your teams to:
Track all models
Track all models, across all risk themes, using a single inventory store, helping to reveal any potential redundancy and duplication within the inventory.
Identify issues
Identify model issues and track through to resolution.
Add documentation
Add supporting documentation to demonstrate methodology and results.
Evidence governance
Evidence necessary governance for independent and regulatory review.
Faster responses
Have a faster response to regulatory changes that impact your models.
Reduce risk
Reduce the risk of noncompliance and recognize potential opportunities.
Empower your model risk management practices with features designed to expand your Connected Risk® solution
Model Inventory
An inventory single source of truth for all models including: versions, materiality, relationships, dependencies, with full lifecycle management. This also includes structural taxonomy tags, links to inputs, outputs, and documentation.
Establish Ownership & Accountability
A user’s access and security rights are defined by their roles & responsibilities within your model risk management framework. Dashboards, email notifications and collaborative tools engage users and maintain the system.
Manage Documentation
Model Risk Management provides one-click access to model documentation. This includes document dependencies, version history, review cycles and security access control. Integration with the Committees provides evidence of review and sign off.
Workflow Enabled Lifecycle Management
Lifecycle management is established throughout 1st and 2nd line with clear responsibility throughout the model development, validation, review, and production phases demonstrated though links to the models, processes, and policies.
Issue Log
Model issue and weaknesses management are captured as part of the model validation and review lifecycle so that you can manage ownership, track status, and document resolution.
Connected Risk® provides you with a single source of truth that provides infinite linkage capabilities, and in turn, increases data quality and knowledge sharing.
Connected Risk® utilizes enhanced drag-and-drop and powerful data mapping capabilities for creating additional taxonomies and linkages into neighboring risk areas.
Our Model Risk Management solution is highly configurable and can help your teams:
Tailor-made, just for your organization
Tailor the solution to meet your organization’s growing regulatory needs.
Evolve with regulatory change
Ensure evolving regulatory needs and internal policy updates are incorporated into the organization’s model inventory management.
Provide evidence with integrated reporting
Provide evidence of the latest taxonomies and relationships with our integrated reporting capabilities.
Expand with our RESTful API
Connected Risk® leverages RESTful web service endpoints that allow bidirectional integration of your data.
Model risk is as easy as A-B-C with us.
Talk to a model risk expert.
Fill out the form to the right to be connected to one of our Solutions Experts that can assist you with standing up a proof of concept or even working within your parameters to get a demo started for your group today.
Learn more about our Connected Risk® Model Risk Management solution and how it can manage the entire GRC lifecycle within your organisation.
Looking to submit an RFP? Click here for a more comprehensive form.
Get the Solution Datasheet
"*" indicates required fields
Learn more about model risk management from Empowered Systems®
Understanding the Climate Model Landscape in the Banking Sector
Climate change, with its physical and transitional challenges, is now at the forefront of global issues. Financial institutions, specifically banks, are navigating the evolving terrain
Identifying AI Risks: Safeguarding the Future of Artificial Intelligence
Artificial Intelligence (AI) has become an integral part of our lives, transforming industries and revolutionizing the way we work and interact. However, as with any
Streamlining Model Risk Management for Canadian Financial Institutions: A Guide to Guideline E-23 Compliance
Introduction As the financial landscape continues to evolve, institutions face an increasing reliance on models for risk management and stress testing. However, the use of
Principle 5: Model Risk Mitigants – Safeguarding Financial Institutions in the United Kingdom in Alignment with SS1/23
Introduction In the rapidly evolving landscape of finance, models are invaluable tools used by banks to make informed decisions and manage risks effectively. However, with
Expand and integrate your solution with
Operational Risk Management
Quickly identify, capture and manage multiple sources of risk across the enterprise.
Compliance Management
Aggregate and streamline compliance programs and reveal an understanding of your risks.
Audit Management
Simplify the workflow and collaboration process of compiling audits.
"Powerful Platform For Compliance With Dynamic Regulatory Environment"
“The product is a powerful platform for regulated firms in the financial industry to comply with the ever-changing regulatory environment. The software helps my organization navigate rules and regulations, internal processes, and regulatory reporting requirements.”
Senior Associate, Finance Organization with an annual return of $1-3BN
