AI/ML: The Future of Risk Modeling?

AI/ML: The Future of Risk Modeling?

No, not this kind of AI. A few years ago, I was attending a session on using AI in the financial services industry (I will ignore the definitional vagueness of AI – marketing versus concept).  The speaker was focusing on compliance and, in particular, Anti-Money...
Preparing for Climate Risk as a Community Bank

Preparing for Climate Risk as a Community Bank

” Climate is what we expect, weather is what we get.” - Robert Heinlein With the weather in Texas and the damages caused by Winter Storm Uri continuing to dominate the news cycles, I’m reminded of Heinlein’s quote, especially in the scope of forecasting. Climate is...
A Universe of Risk in the (Finite) Attention Economy

A Universe of Risk in the (Finite) Attention Economy

In order to address risk proactively, you have to see through the noise of all of the information you are being presented with. The goal is to find the right stuff to pay attention to and not be distracted by the rest. It is a challenging task, indeed. “In an...
Welcome to 2021 – The Year of Reverting to the Mean

Welcome to 2021 – The Year of Reverting to the Mean

Welcome to 2021. 2020 was a year of variance and volatility combined with a significant amount of uncertainty and low levels of confidence. If 2020 were a cake, it would be multi-layered with all sorts of crazy additions to the recipe; some good and most quite awful....