Boards formally treat model risk as important, but in practice many banks treat it as a compliance box-ticking exercise that only attracts senior attention when something visibly breaks or a regulator ...

Models are everywhere. Many organizations use models for facilitating the decision-making process, for accounting and tax purposes, and for managing day-to-day operations. In fact, organizations are ...

Regulators around the world differ in their approach to model risk management (MRM) regulation – including their definitions of what a model is. While some are more prescriptive, others such as the UK ...

Key insight: Joint guidance from the Federal Reserve and Office of the Comptroller of the Currency on managing model risk leaves many concerns about artificial intelligence, and especially agentic AI, ...

The model risk office at Lloyds Banking Group has been given ultimate responsibility for the roll-out of artificial intelligence systems in a move designed to ensure clear accountability for managing ...

The Federal Deposit Insurance Corp. issued revised model risk management guidance. The FDIC said Friday the revised guidance clarifies that model risk management should be tailored to the size, ...