ALLL / ALM modeling

ALM modeling

model risk management
3 Risks Asset/Liability Management Addresses
Banks and credit unions face a seemingly never-ending array of financial risks, as the pandemic showed. From health-related surprises to natural disasters to terrorist attacks, the unexpected circumstances that can affect the balance sheets of financial institutions highlight the importance of capital planning and asset/liability management (ALM). Indeed, having sufficient capital to handle the unexpected... Read more »

prepayments
CECL’S Impact on Your ALM Modeling
With CECL's need for financial institutions to look at a more forecasted approach to determine credit reserves, it makes sense to leverage some of the assumptions used in the past for developing loan assumptions in Asset/Liability models.