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4 - AAU - Accounting and Financial Auditing
AAU 316 - Asset Liability Management (ALM) in Banks
Code | Start Date | Duration | Venue | |
---|---|---|---|---|
AAU 316 | 30 December 2024 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 03 February 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 03 March 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 26 May 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 21 July 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 15 September 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 10 November 2025 | 5 Days | Istanbul | Registration Form Link |
AAU 316 | 08 December 2025 | 5 Days | Istanbul | Registration Form Link |
Course Description
Asset Liability Management is key to success of a bank, Asset Liability Committee plays vital role in managing banks’ balance sheets, capital, liquidity, interest-rate risk and overall financial performance.
Banking is exposed to wide variety of risks; high volatility exists in interest rates, exchange rates and economic conditions, regulatory changes effects operating environment beyond estimates. “Take Short Lend Long” business naturally creates maturity mismatches and composition of assets and liabilities causes liquidity and interest-rate risks. ALM is the answer for banks to reach their profitability and sustainability targets in a very challenging environment.
Course provides a complete and detailed overview of asset and liability management with fundamental principles and applications to ALM in a bank.
Course Objectives
- Explaining ALM concepts
- Learning to ways of managing risks in the balance sheets
- Outlining the various types of capital
- Learning Balance Sheet Optimization to meet risk appetite and performance targets
- Understanding the regulatory requirements
- Discussing possible changes in regulations effecting ALM given the recent bank failures
Who Should Attend?
- Executive Managers
- Risk Managers
- Finance Managers
- Accounting Managers
- Treasurers
- Asset Managers
- Liquidity Managers
- Risk Controllers
- Internal Auditors
- ALCO Members
Course Details/Schedule
Day 1
- Fundamental concepts in ALM
- Why are banks special?
- Take Short Lend Long
- Regulatory policy framework
- Bank balance sheet and income statement
- Asset Liability Committee – ALCO
- Role of the ALM function
Day 2
- Capital
- The nature and purpose of capital
- Different types of capital
- Regulatory capital requirements
- Pillar 1, Pillar 2 and ICAAP
- Capital buffers
- Leverage Ratio
- Advance to Deposit Ratio
Day 3
- Interest rate risk
- Fixed, floating rate products
- Non-maturing balances and free funds
- Yield curve risks,
- Customer optionality
- Repricing gaps
Day 4
- Liquidity risk
- Funding Risk
- Funding gaps: maturity and repricing mismatches
- Regulatory requirements
- LCR
- NSFR
- ILAAP
Day 5
- Currency Risk
- Funds Transfer Pricing (FTP) process
- Balance Sheet Optimization, Maintaining Performance and Profitability
- Causes and consequences of bank failures
- Bank Recovery and Resolution Plans
- Challenges for banks given recent bank failures