We assess the Bank’s interest rate risk management, funding strategy and liquidity risk.
Provide independent reviews of the Bank’s financial policies including:
Interest rate risk
Investment and hedging decisions
Funding sources
Liquidity risk management
Contingency funding plans
Develop monitoring and reporting framework to support financial policy requirements
Evaluate exposure to interest rate fluctuations of the loan and deposit portfolios in addition to securities
Determine potential income statement and value-at-risk (VaR or change in the economic value of equity) impacts of changes in interest rates using both parallel and non-parallel shifts in yield curves
Build fixed vs floating loan pricing models and develop alternative strategies to mitigate interest rate risk in the loan portfolio
Develop financial projections (balance sheet, income statement and cash flow) for base case as well as several stressful scenarios
Develop access to alternative sources of funding
Fine-tune deposit pricing strategy
Evaluate policies regarding concentration risks for each source of funding
Advise on funding strategy in light of current market conditions
Build models to track potential funding sources and uses (daily, weekly, monthly) to determine liquidity risk
