One Savings Bank appoints Jaywing as risk model validation partner

Source: Jaywing

Credit risk analytics experts, Jaywing, announces that it has partnered with specialist lender One Savings Bank within its second line function, to independently review and challenge its models, with the first task being the rating system as part of its IRB programme.

An increasing reliance on models, regulatory pressures and changes, and talent scarcity is driving banks towards external experts for trusted long-term risk model validation. Recent focus from the regulator and raised awareness of the consequences mean the stakes in managing model risk have never been higher.

That’s why One Savings Bank put potential model validation suppliers through a rigorous vendor selection process. To support their selection of a partner, the bank commissioned trial validation projects to each qualified vendor in the selection process. The bank then used the output of the trial projects, coupled with a proposal and vendor interview process to select their preferred partner.

With Jaywing’s model validation expertise, One Savings Bank can achieve a greater level of independent model assessment ensuring models are fit for purpose while adhering to regulatory requirements.

Nicholas Hurst, Deputy Chief Risk Officer at One Savings Bank, commented: “It was vital we selected a partner with a strong track record in credit risk analytics and which boasted impressive modelling capabilities. This is why we put potential vendors through a rigorous selection process. We were quickly struck by the level of Jaywing’s expertise and the success of its models in ensuring adherence to regulatory requirements and managing model risk effectively. We’re really looking forward to working with Jaywing on our IRB programme, which is a vital strategic project for us”.

Nevan McBride, Risk Practice Director, Jaywing, added: “We are delighted to be selected by One Savings Bank, especially following the rigorous vendor selection process. It was important that One Savings Bank choose a qualified partner with the technical and regulatory modelling expertise and an ability to place a forensic eye across a range of model types. We are delighted to have exemplified these attributes and look forward to performing our role as independent model validation partners to help the bank achieve their goal of becoming IRB compliant.”
Contributed | what does this mean?
This content is contributed or sourced from third parties but has been subject to Finextra editorial review.

Comments: (0)