Model Risk Management offering provides a superior user experience and risk mitigation
Wolters Kluwer Compliance Solutions has achieved a prestigious Category Leader ranking in Chartis Research’s recently published vendor and market landscape report, “Model Risk Management: Validation Services and Tools, and Governance Solutions, 2023.”
According to Chartis, its recent report represents a progression in its longstanding research around model risk management (MRM), as it analyzes the MRM vendor landscape using quadrants that cover both validation and governance solutions to reflect the different types of vendor functionality in the market, which have evolved from overlapping but distinct user requirements.
In this report, Wolters Kluwer earned a category leader designation in the RiskTech Quadrant® for Model Governance Solutions. The quadrant has changed considerably since its previous MRM analysis in 2021, notes Chartis, with many vendors “having dropped from the space” or chosen not to focus efforts in this space.
“While the expansion of IT infrastructure and digitalization has fueled the broader GRC market, domain expertise has remained a barrier for model risk governance,” writes report co-author Sidhartha Dash. “To stay active in [this] space, GRC firms can continue to offer compliance management and regulatory intelligence, alongside the core set of functionalities that has emerged.”
“Recent events in the banking market have shown the importance of having robust, sound models—from helping demonstrate compliance, to ensuring the solvency of an organization. As part of this effort, managing the models that a financial institution uses in meeting those objectives is absolutely crucial,” said Chuck Ross, VP and Segment Leader, Investment Compliance, Wolters Kluwer Compliance Solutions.
Wolters Kluwer offerings, including its OneSumX® for Compliance Program Management solution, provide financial institutions with a variety of means to establish the functioning of controls and adherence to polices, including, for example, its array of risk controls and self-assessments, attestations and test program functionality, to help foster model risk management.
“There are increasing expectations around firms to ably manage model risks from both a quality and qualitative standpoint. Central to this capability is the ability to demonstrate a good, solid governance model process to an auditor, a regulator, or any other stakeholder, showing that the institution is managing its various risk models with effective policies, procedures and controls,” Ross adds.
This latest honor for Wolters Kluwer follows on it being named #1 in four solution areas—and among the Top 10 firms globally—in the widely followed and highly respected Chartis RiskTech100® ranking for 2023, including a top ranking in Regulatory Intelligence capabilities for a second year running.
