Risk Advisory

Thanks to our cross-functional expertise, we are able to provide our clients with tailored solutions in Risk Governance. This includes not only identifying risk strategies and limits (RAF) and measuring Second Pillar risks (ICAAP, ILAAP), but also offering specialized support in areas such as Stress Testing and Model Risk Management.

Stress Testing

For Stress Testing, we provide our clients with a platform that simulates the impact on capital metrics (RWA, ECL), profitability, and cost of risk. This platform leverages our proprietary scenarios and econometric models. Through intuitive dashboards, users can visualize the potential effects of changes in PD and LGD under both static scenarios (baseline simulation) and dynamic balance-sheet assumptions, with the flexibility to modify underlying assumptions in dynamic simulations.

Model Risk Management

We have developed a robust Model Risk Management framework that not only tracks an inventory of all models used within the bank, but also manages their lifecycle based on varying priority levels, driven by factors such as capital impact, methodological complexity, and other key considerations.

The European regulatory landscape increasingly emphasizes governance and risk culture as essential components for the effective functioning of any financial organization. Within the banking business model, these elements form a core pillar of the Supervisory Review and Evaluation Process (SREP), significantly influencing all business processes, from organizational structure to corporate culture, and extending to human capital.

In this context, leveraging our cross-functional expertise, we are able to support financial institutions of all sizes—from the most complex to the simplest—in the following areas:

Risk Management & Risk Modeling Training

Drawing on the extensive experience of our professionals, we position ourselves as strategic partners for banks and financial institutions. We offer tailored training programs for Boards, C-level executives, and Risk Management professionals, with the goal of fostering an informed risk culture that is seamlessly integrated into business practices.

Risk Policies & Internal Regulations

Our cross-functional expertise enables us to serve as trusted partners in the design and implementation of risk policies and internal regulations. This includes governance, the role of internal control functions, and the broader spectrum of risk management processes.

Leveraging the expertise of our Risk Management team, we assist our clients in meeting regulatory requirements by identifying the necessary actions and coordinating remediation plans as mandated by Regulators, Supervisors, and Internal Control Functions.

Dialogue with Supervisory Authorities

Drawing on Cerved Group’s institutional role and our deep expertise in requirement analysis and problem-solving, we support our clients in their communication with Regulators and Supervisors throughout the entire process— from "war room" preparation to post-inspection follow-up and management.

Regulatory Impact Self-Assessment

We help our clients assess the regulatory impact of new regulations and conduct gap analyses (covering processes, models, and architectures). In addition, we provide guidance in designing and implementing strategies to address potential regulatory risks, meet Regulator expectations, and resolve any identified issues.