Model risk isn’t just technical - it’s a governance issue.
SR 11-7 lays the foundation for model risk management. Empowered helps you operationalize it with structure, accountability, and audit-ready documentation across the entire model lifecycle.
Understanding SR 11-7
A framework for model risk oversight.
Issued by the Federal Reserve and OCC, SR 11-7 outlines expectations for model risk management in financial institutions. It emphasizes strong governance, independent validation, and documentation throughout the model lifecycle.
- Applies to all models used for decision-making, including credit, pricing, and AI.
- Requires inventory tracking, validation processes, and documentation of model limitations.
- Mandates independent oversight and regular performance reviews.
Models Drive Decisions - and Risk
Without structure, model governance becomes fragmented and reactive. SR 11-7 provides a clear framework – but implementing it across growing model portfolios is tough without the right tools.
- Helps avoid regulatory findings, audit failures, and reputational risk.
- Ensures transparency and accountability throughout the model lifecycle.
- Supports responsible use of complex and evolving models, including AI/ML.
Structure and Oversight for Every Model
From inventory management to validation tracking, Empowered gives your team the structure and visibility needed to meet SR 11-7 expectations – and scale with confidence.
- Maintain a full model inventory with risk classification, owners, and documentation.
- Track validations, reviews, and approvals across the full model lifecycle.
- Report on model risk, performance, and compliance status in real time.
Bring structure to your model governance program.
Talk to a specialist about how Empowered helps your team meet SR11-7 requirements with confidence.
