Oxford Economics deepens financial services modelling with Jaywing

Oxford Economics has agreed a collaboration with Jaywing, aimed at expanding the firm’s footprint in the financial services sector.

The joining of forces will enable Oxford Economics to deepen its macroeconomic models with added insights in the area of capital and credit risk.

Oxford Economics is one of the world’s leading economic consultancies. Its macroeconomic scenarios and research is used by more than 2,000 governments and organisations worldwide, including financial services institutions.

Jaywing meanwhile is a technology consultancy specialised in data science and intelligence, with a strong focus on the financial services sector. The Sheffield-based company previously worked with some of the UK’s leading lenders, such as Starling Bank, Nationwide, and the Royal Bank of Scotland.

As part of the collaboration, Jaywing will provide models that can predict the impact of macroeconomic developments on a range of risk metrics. The firm will also develop stress tests for provisions and capital requirements, among others.

Oxford Economics will inject this information into its macroeconomic models, providing clients with insights for strategic decision-making, and provide guidance on how institutions can achieve IFRS 9 compliance and fulfil their stress testing objectives.

“The collaboration with Jaywing will allow us to further extend the support we provide to financial institutions with their stress testing and capital planning requirements by also supporting them with their expected credit loss calculations. We’re delighted to be working with Jaywing to further help our clients’ understanding of the global outlook and associated risks,” said Neil Walker, Director of Macro Modelling and Scenarios at Oxford Economics.

Ben O’Brien, Managing Director at Jaywing, added: “We’re thrilled to collaborate with Oxford Economics – their ability to predict external market trends and assess economic, social, and business impacts is unmatched. With Oxford Economics’ ability to provide timely and consistent scenarios, and our 20+ years of experience in credit risk and model development, we will provide businesses with an all-encompassing offering that de-risks important decision-making.”