As banks face increased competition alongside higher capital requirements coupled with a decrease in spreads, many banks will be looking to mismatch asset and liability maturities to generate a “secret sauce” to generate higher margins. Against increased scrutiny and additional measures to make the banking system safer this requires a state of the art approach to ALM and liquidity risk management.
Implementing a strong solution to define, measure, monitor and manage liquidity and interest rate risk is essential to unlock the benefits of modern ALM techniques. Read our white paper to learn more.
