Director of Product Management
Joy has more than 10 years of financial services experience in a variety of areas. As a product management director, she currently focuses on development of portfolio risk management tools including the RiskFrontier™ software. Joy has a BS in aerospace engineering from Massachusetts Institute of Technology and an MBA from NYU Stern.
Institutions have spent an enormous amount of time, energy, and capital meeting stress testing expectations set by regulators. However, with established and approved methodologies banks have coalesced around a standard for loss and resource estimation approaches. If designed properly, a stress testing framework can be a powerful risk management and strategic planning tool providing banks with a distinct competitive advantage. This webinar discusses how to leverage stress testing processes for tactical and strategic decision-making.
In this article, we demonstrate the effect of the new allowance framework by quantifying allowances and credit earnings volatility for a sample portfolio.
As new regulations require increased visibility of risk management processes, financial institutions often struggle to find strategic value in new investments beyond regulatory compliance.