Four Considerations Internal Audit Should Share with Management
Now is the time for banks to put January 2023 on their to-do list as it is the date for the next round for adoption of the current expected credit loss (CECL) standard. Internal audit teams should access the model governance and controls framework as well as the implementation timeline to determine if their strategy is ready to execute.
The role of an internal audit team is to check that your management team understands the scope of the model validation process and key factors that may impact their ability to implement the model successfully.
Here are four considerations you should convey to your management team.