Insights

Discover how banks can balance AI innovation with regulation through governance, risk management, and explainable, accountable models.

European banks face rising scrutiny on IRRBB and CSRBB. Explore key challenges and strategic responses.

Explore the evolving risks and regulatory challenges in banking by 2025. Learn how to adapt with robust risk management and stay ahead of ECB and CBI expectations.

Our Regulation Outlook delves into the evolving EU regulatory landscape, exploring the key uncertainties that are poised to influence decision-making processes, market dynamics, and strategic planning throughout the year.

The Central Bank of Ireland (CBI) released a letter highlighting the main findings of its work on asset valuation, which sets out its expectations to be adopted by all firms to mitigate the issues identified in Irish Fund Management Companies (Firms). This report sets out ESMA’s analysis and conclusions on its January 2022 Common Supervisory Action (CSA) exercise and presents ESMA’s views on the findings.

Our focus in this paper is to develop decision making models using a range of advanced machine learning techniques. We explore three different methodologies to measure the discriminatory power between good and bad borrowers using a credit card portfolio dataset. The main hypothesis is that advanced modelling techniques lead to more efficient estimates and higher discriminatory power.

Grant Thornton has constructed a Physical Risk Quantification Framework in its effort to support financial institutions in identifying and measuring their Climate & Environmental (C&E) Risks. In this publication, we present our methodology, implementation, and key benefits of the framework.

Over the last few years the ECB have published a series of guidance and best practice publications in the Climate and Environmental (C&E) risk area. These publications and best industry practices indicate that while banks have made progress in incorporating climate-related risk, there is a high level of inconsistency in certain practices and also areas for improvement.

How Grant Thornton can help you to estimate scope emissions for companies that do not report these metrics and incorporate these into banks’ Climate & Risk Quantification framework.

How Grant Thornton can help you understand the challenges surrounding the implementation and validation of machine learning techniques in IRB models.

The global economic crisis that resulted as a consequence of the pandemic has stressed the relevance of prioritising sustainability pillars within financial services.