MORS Software has released the ALM Survey Report 2026, providing insight into the key challenges and priorities shaping Asset Liability Management across the banking sector.
The report is based on responses from 81 banks across multiple regions and reflects the continued uncertainty and complexity facing financial institutions. The findings highlight the evolving role of ALM as a central function in balance sheet strategy and risk management.
This year’s results show a clear shift in focus. Geopolitical risk has emerged as the most significant expected challenge for the next 12 months, overtaking interest rate uncertainty, which has traditionally been the dominant concern. At the same time, funding sources and costs have increased notably as a challenge, while profitability pressures remain a key theme for many banks.
From a regulatory perspective, Interest Rate Risk in the Banking Book (IRRBB) continues to be the most significant constraint, requiring ongoing investment in modelling, data, and reporting capabilities. While many banks have progressed beyond initial implementation, compliance and reporting remain resource-intensive.
The report also highlights continued challenges related to ALM systems and technology. While a majority of banks report that their tools meet current needs, a significant share still face limitations, particularly in data granularity, stress testing capabilities, and performance.
In addition, the survey explores the adoption of artificial intelligence in ALM. The results indicate that AI usage remains limited, with no respondents reporting production use. However, some banks are actively piloting or testing AI applications, suggesting growing interest in its potential.
Overall, the findings confirm that ALM remains firmly at the centre of banks’ strategic decision-making, as institutions navigate a combination of geopolitical uncertainty, evolving regulatory requirements, and changing market conditions.
The ALM Survey Report 2026 is now available for download.