What we offer
Risk appetite
Our experienced team can analyse, review and document your risk appetite, ensuring it is embedded within your risk management framework.
Scorecard development
We have created a sophisticated scorecard development framework that incorporates both traditional and alternative methodologies. Our approach ensures that the most appropriate methodology is used to meet the objectives for each scorecard development. Approaches include:
Expert judgement
Utilising 4most’s Knowledge Elicitation Process (KEP) through a consistent, repeatable, and objective process where there may be limited data, performance outcome, or a change in profile.
Traditional scorecards
We use logistic regression due to its transparency, effectiveness and easy-to-understand methodology for classifying risk within your portfolio.
Machine learning
Machine learning algorithms can be used where more data is available, or the target variable may be more difficult to predict. We find that these outperform traditional logistic regression scorecards. 4most’s approach considers transparency, predictiveness, and ease of implementation when considering techniques.
Monitoring and MI
4most has developed an automated monitoring suite, LUMOS, that enables standardised tracking and validation of models and strategy, allowing easy, efficient, and interactive data exploration and ‘what if’ strategy analysis.
Policy and decision (referral) rules
We identify and define key risk drivers, thresholds, and business policies to be applied within the decision platform.
Acquisition strategy
We support the statistical analysis required to inform the strategy design and help to understand interactions between the score, overall business policy, and decision rules.
Affordability strategy
4most can build affordability assessment procedures and the measurement of income and expenditure, aligned with MCOB and CONC requirements. We also build compliant governance frameworks and assess affordability risk, which we can embed within your risk management framework.
Streamlining journeys and processes
We support clients in reviewing and optimising journeys such as underwriting, data strategy, and the customer experience. This can include a thorough review of the operating model.
Impact assessments
We test decision tools, such as policy rules and scorecards, via statistical analysis to assess strength, robustness and impact.