Risk Data Review
Definition
Risk Data Review denotes a process of systematic analysis of the relevant Risk Data used by an organization towards concrete Risk Management / business objectives or regulatory reporting
Scope
The scope of a risk data review varies depending on the context of the data use, the significance of decision making it supports etc. It would typically cover some combination internal data and external data, Data Infrastructure, internal processes such as Risk Data Aggregation etc.
Components
The review will typically include many elements of a Data Quality Management Framework including in particular the dimensions of
- Data Completeness
- Data Accuracy
- Data Consistency
- Data Timeliness
- Data Uniqueness
- Data Integrity Validation
- Data Availability
- Data Traceability
In addition, the review will have more specialized requirements linked to the specific use case. Risk data used for the development of risk models must meet requirements beyond the assessment of Data Quality, such as Representativeness, Population Stability, presence of potential biases etc.
