It's time for automation
Producing results for scenario stress testing has traditionally been a manual, time consuming process, prone to operational errors. Times are changing, as banks start to automate part of this process.
With the implementation of a rapid scenario expansion framework, stress shock scenarios can be calibrated at the click of a button. The results can be integrated to deliver a strategic, cost effective and auditable regulatory compliance system.
Expand any stress scenario at the click of a button: the rapid scenario expansion approach
Post the global financial crisis, regulators have put significant focus on rigorous and stringent stress testing programs for banks, and stress testing has become a critical regulatory tool to ensure higher resilience of the banking sector. Since global banks are subjected to multiple regulations around the world, they face intensified pressures to demonstrate the robustness of their systems, processes, controls, and governance to support stress testing exercises.
For banks, producing results for scenario stress testing has traditionally been a manual, time consuming, and operationally error prone activity. Today there is more opportunity to automate part of this process – Rapid Scenario Expansion – using customized quant models and IT solutions to move towards a more strategic, cost-effective, and easily auditable risk management system.