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ALM Workshops Q1 & Q2 2019: Santo Domingo, New York & Miami


Announcing ALM Workshops For Q1 & Q2 2019

As interest rates moved higher last year, many depository institutions found that they were not well-prepared for the impact on earnings. A key reason was the unexpected increase in deposit costs that occurred as the excess liquidity that characterized much of the post-crisis era quickly evaporated.

Now that the economy is slowing, and the yield curve has flattened, a different kind of margin pressure is being felt, although no less challenging. As competitors get more aggressive in trying to sustain above-market balance sheet growth, the need for a very granular and robust margin attribution process is greater than ever.

In this exciting class, we discuss these and other emerging challenges in the banking industry. Drawing on 25 years of experience working with financial institutions from around the globe, I describe a comprehensive approach to risk and profitability management that has proven robust to the dynamics of the business cycle.

I will discuss how to develop and manage ALM models which provide accurate and dynamic measures of interest (IRR) and liquidity risk (LR). This is accomplished with a well-designed FTP framework which transfers IRR and LR from the lending and deposit gathering business units to a central mismatch center. (SPOILER ALERT: FTP is mandatory, it must be done in a very specific and deliberate way, it belongs in the ALM model and it will probably upset the narrative of how your company makes money!)

I will also showcase my non-maturity deposit (NMD) model which produces estimates of duration and liquidity as well as FTP rates which reflect these value characteristics in a way that logically rewards deposit gatherers for the economic value they generate AND stabilizes their margins.

It’s a packed agenda and I guarantee that you will leave inspired to elevate the practice of risk and profitability modeling at your firm!

For more information about the workshop, see Asset Liability Management: Moving Beyond the Model.

Past delegate testimonials can be found here and if you have any questions, please feel free to send me a message.

I hope to see you there


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