As you are probably aware, the Proposed Interagency Guidance on Liquidity and Funds Management was released on July 6. We’ve been told that the final version is likely to be released late first quarter or early second quarter 2010 with only minor changes. The guidance document raises the bar on liquidity risk measurement and management by a considerable amount. For the most part it tells you what to do, but not how to do it. ... More
A landing page is an entry point to a web site that draws in traffic from a search engine, convinces the visitor they want the product and then helps them to start the process to get it. To be effective, a landing page needs the following elements. . . ... More
In December of 2009, FARIN signed a contract with the American Bankers Association to redevelop the ABA Liquidity Toolbox which was last done in 2001. This series of books will incorporate the newest approaches and guidelines for measuring, managing and reporting liquidity within the banking industry. ... More
Yesterday (1/7/10) the FFIEC issued and advisory bulletin that indicates the increased expectations regulators have when reviewing the interest rate risk process. All federally insured institutions are being notified that the well managed designation will include more rigorous evaluation of risk, including value at risk, non-parallel rate movements, 2-3 year forecast horizons and more. ... More
Most readers of this blog are familiar with the fact I spend most of my time these days working with financial institutions on developing strategies to maintain and grow core funding. With the Proposed Interagency Guidance on Liquidity and Funds Management, the pressure to grow core funding is going to increase considerably in 2010. ... More
Yesterday I received the e-mail quoted further down this message from Kirby Davidson, President and CEO of the Graduate School of Banking at Wisconsin. The testimonial in the e-mail was from one of the students that attended Financial Managers School in September, 2009, about a month ago. ... More
For most of us, the greatest challenges we face in the current crisis are not behind us. They are in front of us, spread out over the next 3-5 years. You might ask, “How can you say this Farin, when some of the top economists in the country are saying the recession is over?” ... More
Many institutions were just getting used to have an informational web site. Gen Y-ers may never foot in your branch, if you want to get their business, you have to play on their turf, which means communicating in their language. Online. Instant. Targeted. Personal. Now. ... More
The “Proposed Interagency Guidance – Funding and Liquidity Risk” was issued by the FDIC, OCC, OTS, NCUA and the Federal Reserve on 7/6/09. The comment period ends on 9/4/09. With everything else going on in the industry, you may have not taken the time to read this proposal. It needs to be better organized and some of the redundancy needs to be cleaned up. I’ve provided a
The “Proposed Interagency Guidance – Funding and Interest Rate Risk Management” provides guidance on a very crucial issue – liquidity risk management. I believe the guidance addresses many critical issues institutions should deal with when developing a liquidity strategy, liquidity policy statement, and contingency funding plan. Hopefully the final version will be better organized and reduce some of the redundancy within the document.
In the review I see two major gaps… ... More
