Stress Testing 101

As regulators place greater emphasis on risk management frameworks and overall corporate governance, proactive credit union leaders should employ stress testing methods to evaluate the impact of key risk factors. These risk factors include: increased credit losses, declines in collateral values, illiquid markets, and strains on liquidity. Therefore, leaders should evaluate a variety of 'what-if' scenarios to understand the potential risks in their institutions.

Covered Topics

  • Identify practical implementation techniques and best practices
  • Determine how to properly analyze the output from a stress testing model to determine your risk appetite and integrate into your strategic planning framework
  • Effectively communicate results to management and the board
  • Explore the challenges of developing a stress testing program including incorporating results into managing the institution
  • Develop a checklist with takeaways for immediate application at your institution

Who Should Attend?

This informative session will be useful for CFOs, CEOs, Loan Officers, Senior Lenders, Loan Reviewers and Credit Analysts.