Since Silicon Valley Bank’s demise, many of the usual suspects have been yapping and editorializing about the importance of capital and capital ratios, but it’s never about capital. It’s always about liquidity!

Below, we summarize the guidance and analyze the recent revisions to the tailoring framework. We focus on CCAR Supervisory Expectations for Category I (US GSIBs) vs. Category II or III (≥ $250B total assets) banks but also mention Category IV banks a…

Matt and Andy talked about best practices for managing risk and trends in the industry and how Andy built a career in this fast-growing area, plus, what advice he has for those just starting out.

Spero Risk Associates has substantial experience with all aspects of CCAR, especially model development and validation. We have asked the questions, and we have successfully answered when others have asked. The seven principles of an effective cap…

We like to think of the three main components of validation like Cerebus – validation encompasses the past, present, and future. 1. Evaluation of conceptual soundness, including developmental evidence. 2. Ongoing monitoring, including process verif…

In anticipated direct events, identification and use of risk mitigants mean better preparation to reduce losses in analyzed situations: Precautions or ex ante actions that reduce the possibility of the considered situation occurring Insurance…

Learning is a benefit that is important enough to describe separately!  Like much financial and credit model development, scenario analysis is research as much as development or construction.  Scenario analysis leads to a better understanding of the …