Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 7: Income Simulation and Wrap-Up Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 6: Gap Analysis Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 5: The Metrics for Estimating IRR + Methodologies to Estimate IRR Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 4: Surge Shares Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 3: Variables and Assumptions Impact the Outcome + Estimating Rate Sensitivity Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 2: Balance Sheet-Related Risks Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
Chapter 1: Welcome, Objectives, Let’s Talk about Your Credit Union Income simulation is the most common method of estimating interest rate risk in the credit union's balance sheet. It is simple in concept, but complex in its application. In this presentation, we will explain how income simulation works. The most common variables and assumptions, such a prepayment speeds and deposit rate sensitivity, will also be covered.
In this presentation, we will briefly review the applicable regulations and their impact on different-sized credit unions. We will present a template to develop a liquidity risk policy. Additionally, we will present the attributes of a sound contingency funding plan and offer a template to assist in developing such a plan.
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this chapter, Mark covers the following: * Welcome to Preparing for Risk-Based Capital * What is Proposed? * NCUA proposes to implement a risk-based capital (RBC) criteria * Why is NCUA proposing R...
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this chapter, Mark covers the following: * What to Do Now * Summary
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this chapter, Mark covers the following: * Scenarios & Questions
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this chapter, Mark covers the following: * Net Worth & RBC Requirements to be considered well-capitalized * Examples of Risk Weights By Category * Definition of Weighted Average Life of Investm...
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this chapter, Mark covers the following: * Characteristics of The RBC Proposal * Proposed Loan Categories * Investment Categories * Other Categories of Assets & Assets Risk-Weighted @ 0%...
NCUA has proposed a major change in the capital requirements. A risk based capital requirement similar to other types of financial institutions is proposed for credit union over $50 million assets. In this webinar we will review the proposed requirements and their potential impact on credit unions. In this installment, Mark covers the following: * Welcome to Preparing for Risk-Based Capital * What is Proposed? * NCUA proposes to implement a risk-based capital (RBC) criteria. * Why is NCUA propos...
Presentation Description: In this presentation, we will present the credit union's leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk.
Presentation Description: In this presentation, we will present the credit union's leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk. Part 5 Description: * Introduction to the basic analytical tools used to est...
Presentation Description: In this presentation, we will present the credit union's leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk. Part 4 Description: Identifying four significant ALM-related risks that impa...
Presentation Description: In this presentation, we will present the credit union\'s leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk. Part 3 Description: * Defining ALM and the responsibilities imposed on the ...
Presentation Description: In this presentation, we will present the credit union\'s leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk. Part 2 Description: * Examination of the nature of financial leverage and i...
Presentation Description: In this presentation, we will present the credit union\'s leveraged balance sheet and demonstrate the interaction of the balance sheet and impact on net interest income. We will present the two most common approaches to estimating interest rate risk, income simulation, and net economic value. We will also explore the concept of liquidity risk and the basic methodologies for estimating this risk. Part 1 Description: * Review of the nature of a financial institution’s bal...
