SR Letter 11-7 outlines the regulatory expectations with respect to the risk management processes and internal controls that banks must implement. This training program will detail the purpose and scope of the guidance, and discuss effective model risk management for financial institutions.
Webinar participants will understand all requirements of the regulation and learn how to implement effective policies and procedures to establish a sound model risk control framework, including independent model validation and verification. Participants will also understand the importance of developing a model inventory, assessing the risk inherent in each model, and developing controls that are commensurate with the risk and reduce it to an acceptable level.
Why Should You Attend:
Financial institutions rely on models and quantitative analysis to perform key activities such as investment valuations, risk management, and liquidity and capital management. A sound management of the risks inherent in the use of financial models is imperative to reduce the risk of reliance on flawed or misapplied models. SR Letter 11-7, issued jointly by the Federal Reserve and OCC, provides comprehensive guidance for banks on effective model risk management and has become the gold standard for model risk management, with its principles being adopted by virtually all U.S. financial institutions.Webinar participants will understand all requirements of the regulation and learn how to implement effective policies and procedures to establish a sound model risk control framework, including independent model validation and verification. Participants will also understand the importance of developing a model inventory, assessing the risk inherent in each model, and developing controls that are commensurate with the risk and reduce it to an acceptable level.
Areas Covered in the Webinar:
- Background and Model Risk
- Purpose and Scope of the Guidance
- Model Risk Management
- Model Development, Implementation and Use
- Model Validation and Verification
- Governance, Policies and Controls
- Three Lines of Defense
- Roles and Responsibilities
- IT and Spreadsheet Controls
- Effective Challenge
Who Will Benefit:
- Risk Officers
- Compliance Officers
- Internal and External Auditors
- Financial Controllers
- Operations Managers
- Treasurers
- Board Members
- Business Managers
- Investment Managers
- Asset Managers
- Broker/Dealers
- COO (Chief Operating Officers)
- CRO (Chief Risk Officers)
- CIO (Chief Information Officers)
- CPAs (Certified Public Accountants)
- CBAs (Chartered Bank Auditors)
- CIAs (Certified Internal Auditors)
- CFEs (Certified Fraud Examiners)
Course Provider
Mario Mosse,
