The PRA defines a as any quantitative method or system that applies theories and assumptions to process input data into output. Principle 2: Governance
While the statement was finalized in 2023, the foundation was laid in through the CP6/22 Consultation Paper. Most firms were expected to have implemented these principles by May 2024. SS1/23 – Model risk management principles for banks Download Ss123 2022 zip
The SS1/23 Supervisory Statement (published in May 2023, following consultations in 2022) focuses on five core principles to ensure firms identify, assess, and mitigate risks from quantitative models: The PRA defines a as any quantitative method