Wesleyan Bank, part of the Birmingham-based mutual Wesleyan Group, has gone live with KST, the stress testing system from risk management consultancy and software provider KnowCo.

KST provides comprehensive, intuitive stress testing and business modelling functionality across liquidity, credit risk capital and IRRBB, set in a secure production environment and fed automatically with data from Wesleyan’s data warehouse. The system will enable greater assurance and transparency around data integrity, and offer significant reduction in senior management time spent on controlling spreadsheet risk.

“Wesleyan Bank is a growing business,” said Steve Deutsch, chief executive of Wesleyan Bank. “We are already a leading provider of short term loans in the legal market, and have extended our reach into our other core customer markets including doctors, dentists, teachers and accountants. KST is already making a positive difference to the way we build stress scenarios and analyse the results, and we can better assure data integrity when making important business decisions.”

KnowCo will work closely with Wesleyan Bank to ensure that KST continues to fully support its risk management objectives as it moves forward.

“We are delighted that Wesleyan Bank has chosen KST,” said Paul Ashton, KnowCo’s managing director. “We look forward to continuing to provide risk management efficiencies and enhancements, supporting the bank’s drive for controlled growth. We believe that the KnowCo solution is the most intuitive and transparent system for smaller- to mid-sized banks on the market, providing comprehensive capabilities around stress testing and business modelling, all built on our deep experience of bank risk management best practice, and our constantly updated knowledge of regulatory expectations.”

KnowCo recently commissioned Sussex Innovation to research and write a white paper entitled Stress Testing in Smaller Financial Institutions – access it here