Outline the objectives of alm, Financial Management

Assignment Help:

You are a member of the ALM Committee (ALCO) of ANZ Bank. A visiting member has some queries relating to the general framework of the ALM and interest rate risk impact on the income statement of the bank. You have been assigned the task of drafting a response to each of them. The queries are as follows:

(a) Briefly define Asset and Liability Management (ALM) concept for a commercial bank.

(b) Briefly outline the objectives of ALM.

(c) Explain what are the main issues considered by an ALM committee within a bank.

(d) What are the different sources of risks faced by a commercial bank?

(e) In view of the forthcoming Monetary Policy Committee of the Central Bank, there is a speculation of a possible decrease in the repo rate by 75 basis points. Exhibit 1 provides a snap shot of the breakdown of loans to customers and deposit from customers per product category.


Related Discussions:- Outline the objectives of alm

Explain financial management in brief, Q. Explain Financial Management in b...

Q. Explain Financial Management in brief? In the management of business firms, there are various well known functional areas such as Production Management, Materials Management

Depreciation, calculation of depreciation of long lived assets in times of ...

calculation of depreciation of long lived assets in times of inflation

Working capital management, I need a report on Working Capital Management. ...

I need a report on Working Capital Management. Can you please assist me for Working Capital Management report for about 2500 words?

What is the operating leverage effect and what causes it, What is the opera...

What is the operating leverage effect and what causes it?  What are the potential benefits and negative consequences of high operating leverage? The operating leverage effect i

The process of review and audit of internal control systems, The process of...

The process of review and audit of internal control systems The board of directors are responsible for review and maintenance of internal controls. Management  of  the  company

Define deadweight loss, What is meant by deadweight loss?  Why does a price...

What is meant by deadweight loss?  Why does a price ceiling usually result in a deadweight loss? Deadweight loss considers to the benefits lost to either consumers or producers

Explain net present value method, Q. Explain Net Present Value Method? ...

Q. Explain Net Present Value Method? Net Present Value (NPV) Method: - This process measures the Present value of returns per rupee invested. In this method present value of

WACC, WHAT ARE THE MAIN VIEWS OF WACC PREVALENT IN THE FINANCIAL MANAGEMENT...

WHAT ARE THE MAIN VIEWS OF WACC PREVALENT IN THE FINANCIAL MANAGEMENT LITERATURE

Define the meaning of overtrading, Define the meaning of Overtrading Wh...

Define the meaning of Overtrading When  a  company  is  trading  at  a  very  fast  pace,  it  would be  generating  sales  on  credit  with  speed, so have a large volume of t

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd