AML Model Validation: A Critical Need in the New Regulatory Environment

01:00 PM ET | 10:00 AM PT | 12:00 PM CT Duration 90 Minutes

This will be a very comprehensive discussion regarding AML and the interpretation of model validation

"Craig Taggart has almost a decade of experience in the fields of Mergers & Acquisitions and Business Financing . He has been an expert GRC speaker, consultant"

AML Model Validation: A Critical Need in the New Regulatory Environment

Description

This training program will discuss the history and origin of a model validation. It will also discuss the requirements by the OCC for a model validation, and what exactly a model validation should include. The session will also analyze the elements of a model validation to know what to look for in an RFP, and detail the requirements included in Final Rule 504.

Why Should You Attend:

According to the Office of the Comptroller of the Currency (OCC), “banking organizations should conduct a periodic review-at least annually but more frequently if warranted-of each model to determine it is working as intended and if the existing activities are sufficient.” This has become known in the industry as a model validation, system validation, independent verification and validation (IVV), or just validation. The challenge we’ve seen is interpreting this – what is a model, which models, what a “review” should include, etc.

Areas Covered

•        The definition of a model validation according to the OCC
•        How often a model validation should be completed according to the OCC
•        The origin of the term independent verification and validation, and how that relates to today’s model validation
•        Where the regulatory pressure has been to conduct an AML model validation
•        What elements should be reviewed during an AML model validation
•        What qualifies as a model validation, and what does not
•        What a sample model validation project plan would look like
•        Vendor due diligence – selecting a vendor for your AML/BSA projects
•        Definition of vendor independence
•        Outline the additions in Final Rule 504 as they relate to AML model validations

Learning objectives:

•        Learn the history and origin of a model validation.
•        Discuss the requirements by the OCC for a model validation, and what exactly a model validation should                    include.
•        Where we’re seeing the regulatory pressure to complete a model validation.
•        What a sample project plan should look like.
•        Cover the elements of a model validation in-depth, so you know what you to look for in an RFP.
•        Discuss the importance of statistical data analysis and its importance in the final report.
•        Discuss vendor due diligence – how to select a vendor familiar with the in-depth nature of the project, and                 being able to recognize their independence.
•        Review the model validation requirements in Final Rule 504.

Who will Benefit

•        BSA/AML Officers
•        Compliance Officers
•        Sanctions Officers
•        AML Analysts
•        Risk Officers
•        Legal Departments
•        Risk Managers
•       CEOs/Presidents at Banks, Broker-Dealers, Money Services Businesses and Other Non-Bank Financial                     Institutions

Industries who can attend

•        Frontline/Customer Service Personnel
•        Internal Auditors
•        Risk Officers
•        Director of Security
•        Compliance Professionals
•        Operational Risk Professionals
•        Audit Committee Members
•        Operational Risk Managers
•        Fraud Investigators


Speaker Profile

Craig Taggart

Craig Taggart has almost a decade of experience in the fields of Mergers & Acquisitions and Business Financing. He has been an expert GRC speaker, consultant, and instructor for over 4 years. Craig has spoken on a very broad range of topics in both seminar and webinar formats. He has been happy to grow his business practice and benefit many professionals around the country.He brings many valuable skills from the finance world into commercial real estate. Craig works with each client at the highest level to achieve the highest value for their business. His experience in the M&A Industry has greatly contributed to his understanding of transaction structure, strategic placement of buyers, and the attainment of maximum market value for his clients. He has represented and sold many businesses in a number of different industries and has significant experience working with companies in: real estate, clean energy, and healthcare. Craig is currently working with institutional investors, family offices and their investment criteria for large commercial real estate development opportunities around the country with the following asset classes: hospitality, office, industrial, retail, multi-family, land, healthcare & non-performing notes. As an associate, Craig will work to help his clients receive the greatest return on investment.

Craig is a Certified Merger & Acquisition Advisor, Accredited Valuation Analyst as well as an active member of Alliance of Mergers and Acquisition, and The National Association of Certified Valuators and Analysts (NACVA).

 

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