Abstract

States that, to build an asset and liability management (ALM) model is a large and crucial project giving the choice of self‐build or to purchase an established model. Gives pros and cons for both choices and says that it may depend on the individual bank as to which one is the best. Posits that there are three main rewards involved for financial institutions who have more than one transaction processing system, these are: efficient compliance of key ratios and limits with ease; achievement of hedge, funding and policy; and planning and business modelling, covering a wide spectrum. Concludes that all companies differ and have many and changing requirements and should fit product to requirements and not vice versa.

Full Text
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