Macro-Economic Credit & Volume Models

Both capital stress testing and CECL require an institution to be able to quantitatively predict loss rates and volume levels under assumed economic conditions. Performing this function in a cost effective way while producing comprehensible, defensible and supportable models can be a challenge. Institutions very rarely have the data and/or the expertise to confidently develop these models themselves.

Cost-effective solution

Allow Empyrean to execute a cost-effective, established and logical statistical modeling exercise that will deliver understandable and maintainable models for predicting loss rates and balance sheet levels.

Based on available data

Empyrean will use whatever data is relevant and available and can rely entirely on publically available national and peer group data in the absence of institution historical data.

Expansive model documentation

Includes expansive model documentation, support and ongoing recalibrations that will alleviate audit, validation and regulatory pressures.