Testing

We have experience of implementing a wide range of Line 1 tests to satisfy regulatory requirements. Examples include:

• Back-testing
• Analysis of change
• Benchmarking
• Functional testing
• Sensitivity testing
• Top down assessment of key model outputs

Throughout the testing process we will work closely with Line 2 from the initial stage of agreeing a test-plan through to answering follow-up queries if required.  

Coming soon

When writing Internal Model related documentation we apply the following core principles:

• Clarity: jargon is minimised and plain language used
• Conciseness: repetition and unnecessary detail is avoided ensuring documents are as streamlined as possible
• Illustrations: diagrams and simple examples are used to help readers understand technical concepts.
• Appropriateness: the target audience is considered at all times. 

We have extensive experience writing documentation for a range of stakeholders. Examples include:

• SCR reports and Analysis of Change reports for Board level review. 
• Risk level methodology and parameterisation documentation
• Risk level validation documentation, including Lloyds tier 1 validation reports 
• Technical user guides    

Coming soon

According to the Use Test, firms must demonstrate that an Internal Model is widely used in their business and plays a key role in the decision making process. Effective use of an Internal Model can provide valuable insight and a strong basis for business decisions. We have experience of using Internal Models in the following key areas:

• Reinsurance optimisation
• Asset portfolio optimisation
• Capital allocation
• IFRS 17 risk transfer
• Business planning

Coming soon

Coming soon