Susan Schmidt Bies: It’s not just about the models - recognising the importance of qualitative factors in an effective risk-management process

Good afternoon. I am delighted to join you today. I have spent much of my career in the field of risk management, and of course the Federal Reserve has a keen interest in this topic. For those of us who have spent more than a few years in the business, it is easy to see the recent progress in the quantitative or scientific aspects of risk management brought about by improved databases and technological advances. These increased capabilities have opened doors and minds to new ways of measuring and managing risk.