of stress test and scenario analytics, and related economic capital optimization. These tests are typically linked to the macroeconomics, and provide an indicator of how sensitive the bank is to changes in economic conditions, and of its ability to respond to market events. And here, more generally, “preparing for anything that might happen,” rather than worrying about precise likelihoods, and providing estimates for scenarios beyond the VaR thresholds. Model risk is addressed through regular validation of the models used by the bank's various divisions; for VaR models, backtesting. Re implementation, Investment banks, particularly, employ dedicated "Risk Groups", i.e. Middle office teams monitoring the firm's risk exposure to, and the profitability and structure of, its various businesses, products, asset classes, desks, and / or geographies. By increasing order of aggregation: (i) Financial institutions will typically set limit values for each of the Greeks, or other measures, that their traders must not exceed, and traders will then hedge, offset, or reduce periodically if not daily - see below. (ii) Desks, or areas, will similarly be limited as to their VaR quantum (total or incremental, and under various calculation regimes), corresponding to their allocated economic capital; a loss which exceeds the VaR threshold is termed a "VaR breach". (iii) Their concentration risk will be checked against thresholds set for various types of risk. (iv) Leverage will be monitored - at very least re regulatory requirements - as leveraged positions could lose large amounts for a relatively small move in the price of the underlying. (v) Periodically, these all are estimated under a given stress scenario, and risk capital - together with these limits - is correspondingly revisited. Middle office also maintains the following functions, often overlapping the above Groups: Corporate Treasury is responsible for monitoring overall funding, capital structure, and liquidity risk, and for the FTP framework allowing for comparable performance evaluation among business units; Product Control is primarily responsible for insuring traders mark their books to fair value (a key protection against rogue traders) and for "explaining" the daily P&L; Credit Risk monitors the bank's debt-clients on an ongoing basis, re both exposure and performance. See . In their Front office, Banks employ specialized XVA-desks tasked with centrally monitoring and managing their CVA and XVA exposure, typically with oversight from the above Groups. Achieving the above requires that banks maintain a significant investment in sophisticated infrastructure, finance / risk software (often built