Market & Credit Risk
Models are at the core of each financial organisation. Accurately governing and managing them can therefore give you a huge competitive advantage. Deloitte has global experience in helping financial organisations in the world with their model governance and management.
Models that you use to control your market, credit and actuarial risks are at the core of your business, which means that their quality can give you a competitive advantage. Only by using the right models you can make considerate choices about the risks you are willing to take. They can help you to identify opportunities and give direction to new business models. Their quality does not only serve your internal organisation, but is also very important for regulators world wide.
The complex regulatory landscape, changing business models and new technology however, affect your models constantly, so they should be continuously assessed, validated and adapted if necessary. You need to implement accurate responses to regulatory changes and demonstrate to a complex global network of regulatory regimes appropriate compliance and controls of your market, credit and actuarial risk. But most organisations lack internal resources and expertise on this subject matter.
We help clients assess, design and implement end-to-end model governance and model risk management related to market, credit and actuarial risks. We validate the models you are already using and build new models that you can use to quantify your market, credit and actuarial risk. For this we use the latest technologies like artificial intelligence and neural networks which have already proven that they can give models a huge quality impulse.
These are a few of the services we offer around market and credit risk:
- Model Development
- Model Validation
- Model Risk Management
- Derivative pricing
We have a proven track record and global experience helping financial institutions to improve their model governance and model risk management. Our multidisciplinary teams can offer you an integrated solution, which means that we can advise on your model strategy and governance, but that we also can adapt or build and implement new models based on the latest technologies and regulations. We work closely together with regulators and are influencing decisions through involvement in industry discussions and initiatives, which means that we are always up to date on upcoming changes in the regulatory landscape.
Risk Powers Performance
Today’s business climate is characterised by disruption and volatility. At Deloitte, we help businesses gain a new view of risk—seeing risk management as a vital performance lever, revealing untapped opportunities to create competitive advantage.