Enterprise risk management: coping with model risk in a large bank

Submitted on 25th June 2015

Enterprise risk management (ERM) has become an important topic in today’s more complex, interrelated global business environment, replete with threats from natural, political, economic, and technical sources. Banks especially face financial risks, as the news makes ever more apparent in 2008. This paper demonstrates support to risk management through validation of predictive scorecards for a large bank. The bank developed a model to assess account creditworthiness. The model is validated and compared to credit bureau scores.

 

Alternative methods of risk measurement are compared.

Source
Operational Research Society Ltd.
Length of Resource
12 pages
Resource File
Author
D Wu and DL Olson
Date Published
Publication Type
paper
Resource Type
academic