Scenarios that have not occurred in the past, but are created by assuming changes of a certain amount in key variables, are typically not used in stress testing.

Historical scenarios of one day or one week in length are not useful in stress testing because such periods are not considered long enough to pose a meaningful threat to a bank's financial stability.

Senior management should leave the development of scenarios to risk managers and analysts who have the deepest knowledge of the risk exposures of the various business lines.