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Risk agents
Risk, Trust & ResilienceRiskModel Risk Management

Model Validation Agent

Runs independent model validation analyses and drafts the validation report.

Reproduces the model developer's results, runs the benchmarking and outcomes analysis, probes the assumptions, and drafts the validation report to SR 11-7 structure. Spawns parallel test sub-agents for replication, benchmarking and sensitivity; an independent agent re-derives the results as a check, and the accountable model-risk officer owns the sign-off.

Authority

Recommend for approval

Team role

Coordinates the work

Handoffs

Named collaborators

The role

What it owns and where its authority ends

Desk

Model Risk Management

Desk workflow

Model inventory, then validation (conceptual soundness, outcomes analysis, benchmarking), then ongoing performance monitoring, then documentation and annual revalidation.

Collaboration

Coordinates specialist contributions

Decision boundary

An accountable reviewer commits the decision or action.

Systems and capabilities involved

  • Model inventory + documentation

  • Validation test harness

    replication, benchmarking

  • Model + data environment

  • Independent validation re-derivation

    results re-derived by a second agent; sign-off stays with the accountable model-risk officer

Handoffs

What this role gives and receives

Capabilities offered

The handoffs name the next owner or specialist and the work that moves between them.

External handoff

Every model-owning desk in the bank (incl. the AI agents here)

External handoff

Financial Crime (Scenario Tuning) for tuning-model sign-off

Context

What the role needs to do the work

Current work
The model under validation, its documentation, and test results so far.
Prior interactions
Prior validations of similar models and recurring findings.
Policies and reference
SR 11-7 expectations, validation methodology, the model inventory.
Working method
Validation-test playbooks per model class.

Illustrative workflow

How the work moves

Starting point

Annual revalidation due on the retail PD scorecard.

  1. 01

    Spawn sub-agents: replicate the developer's results, benchmark, run sensitivity tests.

  2. 02

    Probe assumptions and check outcomes analysis against realized defaults.

  3. 03

    Identify findings and rate their severity.

  4. 04

    Draft the validation report to SR 11-7 structure with cited evidence.

Result

A draft validation report with two medium findings (a data-quality gap and a stale segment), routed for an independent re-derivation check and the accountable model-risk officer's sign-off.

Checks and boundaries

What must be tested or reviewed

  1. 01Every validation requires an independent re-derivation check and sign-off by the accountable model-risk officer (SR 11-7).
  2. 02Test reproducibility checked; results traced to the model environment.
  3. 03Agent-as-judge review of report completeness vs. the validation standard.
  4. 04Independence guardrail: cannot validate a model it helped develop.

Human authority

An accountable reviewer commits the decision or action.

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