Financial Services - Risk Management
Problem
A leading financial services company was mandated to comply with new regulatory requirements. Known as the Basel II framework, the requirements force banks to put aside specific amounts of capital to guard against certain financial and operational risks. The new regulatory environment forced the client to increase its sophistication in measuring and quantifying its risks.
Solution
DataBauhaus team members significantly contributed to the delivery of a total credit risk package. We developed a solution that streamlined the collection, storage and analysis of credit risk data to mitigate risk and exposure. This included the development and implementation of data architecture for the purposes of creating a credit risk data warehouse. We also configured risk models used to calculate the amount of regulatory capital required to support the client’s lending and mortgage activities. DataBauhaus team members played a critical role in the development of data integration and regulatory calculation processes.
Results
Using the implemented solution, the client was able to comply with new regulatory requirements in a timely efficient manner, and better control its exposure to credit risk.