1. How would you investigate a sudden deterioration in portfolio risk metrics when there is no clear macroeconomic trigger?
2. Walk me through how you would assess whether rising delinquencies are driven by credit policy changes, customer behaviour, or model calibration issues.
3. How do you design a risk monitoring framework that helps identify early warning indicators before losses materialize?
4. If your back-testing results show persistent underestimation of risk in certain segments, how would you address the gap?
5. How do you incorporate both qualitative judgment and quantitative evidence when forming a risk recommendation for the business?
6. Describe how you would evaluate the impact of a new product launch or risk policy change on portfolio risk.
7. If senior stakeholders request more aggressive growth in a higher-risk segment, how would you analyze and present the trade-offs?
8. How do you ensure your analysis complies with internal governance standards and external regulatory expectations (e.g., OSFI, IFRS 9)?