WHAT WE OFFER
World Class Risk Management Advisory
We offer risk management advisory services catered to our clients’ specific needs. Our specialty is solutions to challenges that require complex analytical or mathematical solutions. Do you have a risk management goal you’re trying to achieve but don’t know where to begin? Let us guide you. Get in touch today so that we can discuss your challenges and possible solutions we can offer.
ENTERPRISE RISK MANAGEMENT
Comprehensive View of Risk
Effective risk management requires not only a comprehensive view of all risks everywhere within an institution but also the effective management of individual risks and their interactions. The Bruce G. Stevenson Company provides strategic solutions in all aspects of enterprise risk management (ERM) including ERM strategy and implementation. Within the strategic elements of ERM, I specialize in risk appetite and risk tolerance, risk governance processes, as well as culture and tone at the top, including roles and responsibilities of executive management and the board of directors. For tactical implementation of ERM, I am an expert in the assessment, identification, measurement, reporting and mitigation of individual risks, the analysis and documentation of interactions of risks, the appropriate structure of the risk management organization, and the response to heightened regulatory standards.
CREDIT RISK
Managing the Volatility
Credit risk routinely is the greatest source of profits, and the greatest threat, to commercial banks and other institutional lenders. Periodic credit crises have created havoc in the capital markets, most recently in the sub-prime mortgage crisis of the late 2000's. Bruce Stevenson is an expert in credit risk both at the level of individual borrowers and loans and at the level of portfolios. He builds and validates models of default probability for commercial and retail borrowers and he develops and validate analytics for loss given default. These elements are central to the new CECL accounting standard. In addition, he is an expert in all forms of portfolio credit risk, including the assessment of extreme risk through the use of economic capital, concentrations of credit and the management of that risk through securitizations such as collateralized loan obligations.
OPERATIONAL RISK
Getting the Assessment Correct
In its short history, the quantification of operational risk has seen many changes and many different regulatory approaches. Nevertheless, the risk to financial institutions from operational failures is real and getting operational risk management right is a central element of ERM. The Bruce G Stevenson Company has expertise in all aspect of operational risk management, including identification of potential operational loss events, design and application of relevant scenarios, appropriate Extreme Value Theory which is commonly applied to estimate the “tail risk”.
MODEL RISK MANAGEMENT
Expert Guidance
Institutional investors increasingly rely on mathematical models for core business activities and the management of risks emerging from these models is a key element of ERM. Bruce Stevenson is an expert in model risk management and has deep experience in the development and validation of models as well as the structure of model risk management (MRM) organizations, including their governance. He provides strategic consulting on all aspects of MTM including compliance with regulatory requirements such as SR11.7
TRAINING
Education is the Path to Success
Bruce Stevenson is both a subject matter expert in risk management and an award-winning teacher. He offers training sessions on all aspects of risk management, including programs that The Bruce G Stevenson Company has developed for operational risk, credit risk, and enterprise risk management. In addition, the firm will develop customized training programs for a client or implement training developed by a client itself. We offer half-day, full-day sessions and multi-day training sessions.
EXPERT TESTIMONY
Subject Matter Expertise
The Bruce G. Stevenson Company provides expert testimony in the following areas: capital adequacy and management, stress testing, bank regulations and supervisory guidance on risk management, commercial and retail credit (underwriting and approval, risk analysis and evaluation, risk ratings and methodology, allowance for loan losses and loss reserve methodology), and operational risk