ALT Solutions
Our Work.
At ALT Solutions, we deliver innovative and impactful solutions to tackle complex challenges faced by federal agencies and private sector partners. Our portfolio highlights real-world applications of our expertise, ranging from data analytics and modeling to intelligent process automation, model validation, and policy and program support. Each project showcases our commitment to precision, compliance, and measurable results, leveraging cutting-edge technologies like AI, machine learning, and cloud-based solutions. Explore how our leadership’s proven experience and forward-thinking approaches have driven success across diverse portfolios and missions.
01
Data Analytics & Modeling
Challenge: Managing a substantial portfolio of single-family and multifamily mortgage-backed securities (MBS) valued at over $2 trillion required advanced credit analytics to forecast cash flows and mitigate risks. Approximately 15 machine learning models were utilized, with outputs critical to budget formulation and financial reporting. Compliance with OMB Circulars A-11, A-123, and A-129, as well as the Federal Credit Reform Act, was essential.
Solution: ALT Solutions, drawing on its leadership’s prior experience, contributed to the development and validation of complex ML models for large-scale MBS portfolios. These efforts ensured compliance with applicable regulatory requirements, including Federal Accounting Standards Advisory Board (FASAB) guidance and industry best practices.
Outcome: Delivered predictive insights that supported budget compliance, reduced portfolio risk, and improved financial reporting accuracy, setting a standard for portfolio management and regulatory alignment.
02
Policy & Program Support
Challenge: A geospatially diverse portfolio spanning healthcare and multifamily housing sectors required the integration of climate risk into its operational risk and valuation models. The portfolio faced physical risks, such as extreme weather events, and transitional risks linked to evolving policies and market dynamics. Federal stakeholders required a framework to quantify these risks and incorporate them into the portfolio’s valuation and risk management practices.
Solution: ALT Solutions incorporated climate risk into valuation and operational risk models by leveraging advanced geospatial analysis and exploratory data analysis (EDA). The approach quantified exposures to physical risks, such as extreme heat and storms, and transitional risks, such as regulatory shifts and carbon pricing. The project aligned with Executive Order 14030, which mandates the integration of climate-related financial risks into federal decision-making, and OMB Memorandum M-24-03, which emphasizes climate resilience in federal infrastructure investments. Scenario-based assessments provided actionable insights into portfolio vulnerability and resilience strategies.
Outcome: Delivered a robust framework for integrating climate risk into the portfolio’s valuation and risk management practices. This enhanced the federal stakeholders’ ability to assess portfolio vulnerabilities, develop resilience strategies, and align with evolving regulatory and sustainability mandates.
03
Intelligent Process Automation
Challenge: A large and diverse portfolio required automation to streamline data collection and verification processes. Data was fragmented across multiple formats, systems, and locations, making manual verification labor-intensive and prone to delays. Ensuring accuracy, completeness, and compliance with federal audit standards was critical for decision-making and operational efficiency.
Solution: ALT Solutions’ leadership developed an AI-powered, web-based, cloud-compliant Intelligent Process Automation (IPA) solution to transform the data collection and verification process. Key features included:
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OCR (Optical Character Recognition): Enabled the extraction of structured and unstructured data from scanned documents, legacy records, and digital files.
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NLP (Natural Language Processing): Automated the identification and standardization of key data points, ensuring consistency across datasets.
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Real-time Validation: Enhanced data integrity by cross-referencing multiple sources and automatically flagging inconsistencies for review.
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Centralized Dashboards: Provided stakeholders with real-time insights into the progress and status of data collection efforts.
Outcome: Delivered a scalable, high-performance IPA solution that:
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Achieved 100% portfolio data coverage with enhanced accuracy.
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Reduced review times by 35%, improving decision-making speed.
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Ensured compliance with federal audit standards and operational integrity.
04
Model Validation and Risk Management
Challenge: A financial institution with a portfolio exceeding $35 billion required a rigorous validation of its newly implemented financial models. These models were critical for lending decisions, risk management, and meeting stringent regulatory standards. Ensuring model reliability, accuracy, and compliance was vital to minimize operational and financial risks.
Solution: ALT Solutions’ leadership implemented a comprehensive model validation framework, addressing key aspects of model risk. The process included:
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Model Design and Theory: Assessed the mathematical integrity and logical structure of the models to ensure they adhered to sound design principles.
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Input Validation: Verified the accuracy and relevance of input data, ensuring consistency with industry standards.
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Assumption Analysis: Evaluated the realism and justification of model assumptions, ensuring they were robust and well-documented.
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Output Validation: Conducted sensitivity analysis, scenario testing, and back-testing to confirm that model outputs aligned with expected financial outcomes and regulatory profiles.
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Governance Alignment: Ensured compliance with frameworks such as SR 11-7, FHFA Advisory Bulletins, Basel III, and CECL, and adhered to regulatory guidance from the OCC and Federal Reserve.
Outcome: Delivered validated models that:
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Enhanced decision-making confidence by improving accuracy and robustness.
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Strengthened compliance with regulatory standards, ensuring audit readiness.
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Improved model governance, reducing operational risks and enabling efficient deployment and monitoring.
