Glossary

What is Model Specification?

Model Specification definition
January 21, 2025
Model Risk Management

Model specification is a description of the model behaviour.

Each item in the description can be mapped to a collection of one or more model expectations.

As one example, an item in the specification of a valuation model will be that the NPV produced by the model should move smoothly with varying inputs.

About the

Author(s)

Yields logo
Yields

Behind Yields is a team of experts in risk, regulation, and technology. When we write as Yields, we share our combined knowledge to make complex topics clear and actionable.

Yields Model Risk Management (MRM) Suite

Staying compliant with evolving regulations across countries is challenging. The Yields MRM Suite provides tools built for Model Risk Management, helping you meet these requirements effectively.

Related Articles

Article

Startup Winner Jury Prize at Fintech Belgium

Read more
Startup Winner Jury Prize at Fintech Belgium
Article
Customer Story

Partners Yields and Approach Cyber deliver first successful AI governance fast-track assessment with itsme®

Read more
Partners Yields and Approach Cyber deliver first successful AI governance fast-track assessment with itsme®
Glossary

What is Model Inventory?

Read more
What is Model Inventory?
No items found.