Stress testing can be viewed as a regulatory burden but if carried out correctly it can be an invaluable risk management tool which can help companies to indentify risk concentration and realign their risk management practices accordingly.
The first day of the course will provide an overview of the principles and main challenges involved in stress testing. The basic key methods which can be used in stress testing will be discussed as will the difficulties of carrying out stress testing on an enterprise wide scale . The final session of the day will focus on how stress testing can be used to influence decision making.
The second day will go on to focus on how to stress tests specific risk types. Speakers will discuss the factors which should be taken into account when developing scenarios for each risk and how practitioners can ensure their scenerios are set at an appropriate level of severity. New methods and techniques which can be used to stress tests each risk will also be presented.
- In depth understanding of the methods which can be applied to stress testing and the benefits and drawbacks of each
- Ability to adjust stress test to suit individual risk types and how to combine the results to assess risk across categories
- Knowledge of how to integrate stress testing into a robust risk management framework
- Appreciation of how stress tests can be used to add value and be more than a compliance procedure
- Competency in designing appropriately severe stressed scenarios across risk types
Job Function who should attend:
Risk Managers |
Risk Analysts |
Risk Modellers |
Model Validation |
Stress Testing |
Capital Allocation |
Credit Risk |
Market Risk |
Liquidity Risk |
Operational Risk |
Enterprise Risk |
Counterparty Risk |
Internal Audit |
Regulatory Advisory |
+44 (0) 207 484 9875