E-book

What is Model Risk Management? Back to Basics

Back to basics. A clear guide to what model risk is, why it matters, and how MRM has grown from a niche banking function into a must-have capability for any organisation using AI.
e-book What is Model Risk Management? Back to Basics
June 15, 2026
Model Risk Management
Model Risk Management regulation

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E-book: What is Model Risk Management? | Yields
What's inside

From first principles to a fully governed platform

A clear, jargon-light introduction to model risk management: what it is, the rules that shape it, and the technology that makes it work at scale.

What model risk really is

Definitions grounded in SR 26-2, what counts as a model (and what does not), and the real-world accidents that make MRM essential.

The global rulebook

How legislation, regulation and guidelines fit together across the US (SR 26-2), the EU (ECB Guide, EU AI Act) and the UK (SS1/23, SM&CR).

The full model lifecycle

Every stage from ideation and validation to monitoring and retirement, with the MRM activities that keep each one in control.

Technology and maturity

Why spreadsheets no longer scale, the features a modern MRM platform needs, and how to benchmark your organisation's maturity.

The guide at a glance

One reference for everyone learning model risk

7
Chapters
3
Jurisdictions: US · EU · UK
6
Lifecycle stages
40+
Pages, plus a glossary
Who it's for

Built for the people who own model risk

Whether you're formalising your first framework or sharpening a mature one, this guide gives your teams a shared starting point.

Risk managers & CROs building or defending an MRM framework.
Compliance officers mapping SR 26-2, SS1/23 and the EU AI Act to daily work.
AI governance leads bringing AI and ML models under unified oversight.
Teams new to MRM who need a clear, shared vocabulary fast.

About the

Author(s)

Jos Gheerardyn Yields
Jos Gheerardyn
CEO and Co-founder

Jos Gheerardyn is the co-founder and Chief Executive Officer (CEO) of Yields. Prior to his current role, he worked as both a manager and an analyst in the field of quantitative finance. With nearly 20 years of experience, he has worked with leading international investment banks and start-up companies. Jos is the author of multiple patents that apply quantitative risk management techniques to the energy balancing market. Jos holds a PhD in superstring theory from the University of Leuven.

Lotte Van Deyck Yields
Lotte Van Deyck
Head of Marketing

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