Glossary

What is Model Validation Frequency?

Model Validation Frequency definition
February 3, 2025
Model Risk Management

Model validation frequency is the (minimal) frequency at which a model has to be re-validated.

This is often determined in the model validation policy of the bank.

Note that the model validation frequency typically depends on the amount of model risk that is associated with the model.

As an example, a model that is used extensively might have to be validated yearly while a model that is only used sparsely might have to be revalidated only once every three years. Typically, the amount of model risk that is carried by the model is expressed in terms of model risk tiers.

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, especially across different countries, is challenging. The Yields MRM Suite provides advanced tools specifically designed to help with Model Risk Management regulations, ensuring you meet these specific requirements effectively.

Related Articles

Article

Yields Named Category Leader in Chartis AI Governance Report 2025

Read more
Yields Named Category Leader in Chartis AI Governance Report 2025
Article

Checkbox Compliance

Read more
Checkbox Compliance
Article

Key Insights on AI in HR: 20 Essential FAQs

Read more
Key Insights on AI in HR: 20 Essential FAQs
No items found.