The Intersection of Compliance and Growth in Credit Risk Management

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The Intersection of Compliance and Growth in Credit Risk Management | Credit Risk Unlocked

In an era where regulatory scrutiny is intensifying, credit risk managers face a delicate balancing act between compliance and business growth. Varun Nakra shares his firsthand experiences of advocating for a nuanced understanding of risk factors to regulators, illustrating the critical role of credit risk teams as mediators between business objectives and regulatory frameworks.

Mar 11, 2025

Varun Nakra, VP Credit Risk Modelling, Deutsche Bank

Tags: Credit Risk

The Intersection of Compliance and Growth in Credit Risk Management | Credit Risk Unlocked

Varun Nakra highlights the impact of evolving regulatory frameworks on credit risk modeling, emphasizing the need for a proactive approach to compliance.
The credit risk quant team plays a vital role in mediating between regulatory guidelines and business objectives, ensuring that both are adequately represented.
Nakra shares insights on the challenges posed by punitive regulations, particularly in the context of investor portfolios in residential mortgages.
Effective communication with regulators is essential; credit risk managers must present detailed analyses that reflect the unique circumstances of their institutions.