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.
CECL: A CEO’s role in improved management of credit losses
There is a reason regulatory agencies are directing their guidance on the new current expected credit loss (CECL) model to the attention of financial institution CEOs. After all, it is top management’s responsibility at the end of the day to ensure the allowance for loan and lease losses (ALLL) is adequate.