Large Bank Examination Workshop February 2026

Model Risk Management

Regulatory Guidance and Best Practices

Session 1

Session 2

Model Development, Implementation, and Use

Session 3

Model Validation

Governance, Policies, and Controls Session 4

107

Session Objectives By the end of the session, participants will be able to: • Describe a best practice corporate model risk management governance organization • Three Lines of Defense (roles and responsibilities of model owner, validators, and auditors) • Model risk management staff • Evaluate reporting to Senior Management and the Board • Ensure model risk management policies and procedures are in place.

108

54

© Global Financial Markets Institute Inc.