What is asset and liability management? Asset and liability management, also known as Asset Liability Management (or just ALM), is managing the maturity and interest rate risk mismatch, between a bank’s assets and liabilities. This mismatch, often referred to as maturity transformation causes both interest rate risk and liquidity risk for banks. The risks are […]
MORS Software has been awarded a Gold Medal by SoftwareReviews in Its 2020 Banking Risk Management Data Quadrant Report
SoftwareReviews, a division of Info-Tech Research Group Inc., a world-class IT research and advisory firm, recently executed a Banking Risk Management Data Quadrant Report. The Data Quadrant evaluates and ranks products based on user review data from IT and business professionals across the banking industry.
Treasury ALM system implementations can be challenging. With many years of experience, a great track record and a modern architecture, we are confident we have the skills, abilities and resources to implement MORS, on time and below budget. To prove this, we offer test driving MORS, through a Proof of Concept (PoC) or a Proof of Delivery (PoD).
Continuing from the previous video WHAT, this time we compiled a list of the absolute essentials, in terms of HOW should an ALM system work.
As markets are hit by the unprecedented level of volatility, we compiled a list of the absolute essentials, in terms of what an ALM system should do.
At MORS Software, we are strong promoters of “what if” scenario analysis within Asset Liability Management (ALM). Given the unprecedented market conditions, analysis of historical data alone is unlikely to produce the best estimates and forecasts for banks on their key ratios.
The pressure to speed up the calculation of risk measures is continuously increasing. For example, BCBS 239 (Principles for Effective Risk Data Aggregation and Risk Reporting from 2013) already set the expectations for consolidation, drill-down and forecasting capabilities. The key functionalities required for scenario analysis and stress testing are timeliness, completeness, adaptability and accuracy.
The financial crises have changed the role and the importance of liquidity risk management in banks. The crises have showed how analysis of traditional liquidity metrics at month-end, or even at end-of-day, cannot provide sufficient and up-to-date information for decision making to meet the challenges caused by rapid daily, and intra-day changes of the market conditions.