Models that you use to control your market, credit and actuarial risks are at the core of your business, which means that their quality can give you a competitive advantage. Only by using the right models you can make considerate choices about the risks you are willing to take. They can help you to identify opportunities and give direction to new business models. Their quality does not only serve your internal organisation, but is also very important for regulators world wide.
The complex regulatory landscape, changing business models and new technology however, affect your models constantly, so they should be continuously assessed, validated and adapted if necessary. You need to implement accurate responses to regulatory changes and demonstrate to a complex global network of regulatory regimes appropriate compliance and controls of your market, credit and actuarial risk. But most organisations lack internal resources and expertise on this subject matter.