With the volatility seen in markets in recent times, regulatory and shareholder concern over risk management models has fast risen up the agendas of banks’ management.

This backdrop highlights the need for strong and effective stress and reverse stress testing in banks and as such the course will provide delegates with a clear understanding of what reverse testing is, why it is important and, through the use of practical examples, show how to implement meaningful and realistic reverse stress tests.

It will also consider reporting practices both for regulatory requirements and more importantly as a tool to raise awareness to a bank’s board of where significant risk exist within the book.

Having completed this masterclass, participants will:

    •    The difference between stress tests and scenario modelling
    •    Market, credit, liquidity and operational stress tests
    •    How to implement a stress testing framework
    •    How to report stress tests