Stress testing: what does it look like at a customer level?

Stress testing is becoming ever more critical in the new regulatory landscape. The Prudential Regulation Authority (PRA) regularly provides recommendations for stress tests, and in the future the European banking authority could also feed into this. Stress testing should not only be considered at a macroeconomic level – but right down to the customer level. Businesses need to consider how interest rates and other factors will impact stress across the customer portfolio. Mohammed Chaudhri, Managing Economist, explores the topic further in this short video.