Model Risk

Concept for identifying, assessing and managing risks arising from the use of quantitative models.

Model risk refers to the potential for losses or adverse outcomes caused by flawed, biased, or misapplied quantitative models and their outputs.

Maturity

Established

Cognitive loadHigh

360° overview

Six perspectives place the building block in context. The numbers show where each perspective continues in the reading path.

The building block at a glance

Model Risk

360°

2

2

Integrations

Model repository and CI/CD pipeline.

+2

1

Transparent documentation of all model assumptions and data sources.

Value stream stage: Build

4

3

4