Asset / Liability Management

When it comes to risk measurement, FRC separates itself from the competition by offering custom service to each client, regardless of size. We have never considered ourselves a vendor, but rather a business partner serving each client one at a time. We are proud to be a professional advisor that works closely with management and board. We offer:

  • Ongoing ALM consultation via telephone;
  • ALCO participation via telephone conference call;
  • An ALM opinion including advice customized to your institution’s needs;
  • Policy writing (ALM, Investment, Liquidity Management & Contingency Funding.)

Measuring liquidity, rate and market risks are important components of the asset/liability management process. From model operations to risk management and controls, we educate and support our clients with easy to understand, step by step advice on all facets of the risk measurement process.  We can formulate an ALM Policy for you.

Risk measurements are developed through proper utilization of a cash-flow model. FRC offers two models. The model should be selected that fulfills the client’s needs, based on balance sheet complexity, desired end products and desired cost.

A cash-flow model can generate thousands of pages of detailed reports. Voluminous reports can overwhelm board members, as well as management. FRC's Guideline Summary Report reduces the number of pages to a more manageable level. This report makes it easy to compare actual results against policy guidelines.

Outsourcing the risk measurement function saves you time and money. By effectively using FRC’s services, you should be able to meet regulatory requirements for rate risk measurement and control, and simultaneously enhance earnings.

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