Over the last year we have seen how liquidity risk has become very firmly incorporated with credit, market and operational risk. With the global liquidity crisis from 2007 and new regulatory developments taking place, this course will allow you to cover these aspects through case studies and to gather a good understanding of the liquidity risk market and the different tools and techniques for managing this type of risk.
This programme will cover a number of tools for assessing liquidity risk, including balance sheet analysis and cash flow projections. Further aspects will be examined such as liquidity risk measurement within a financial institution using asset liquidity modelling and long term liquidity profiling. You will also review how the liquidity risk of non-maturing assets and liabilities is linked to interest rate risk, and how this risk can be quantified using stochastic modelling techniques.
In this 2 day seminar you will examine how liquidity risk can be managed within the context of an integrated risk management program. The use of case studies and illustrated examples will allow you to gain further understanding to the real issues regarding managing liquidity risk in practice and how to effectively assess liquidity risk in the contact of banks and the financial market equally.
• Examine the different factors that affect a bank’s liquidity and methods of assessing their liquidity risk
• Understand how to measure and consider the market’s liquidity risk
• Review the different practices for liquidity risk management from both rating agencies and regulators perspective
• Discuss fund transfer pricing in liquidity and the different pricing factors in both structural and contingent liquidity costs
• Uncover further understanding of the “Subprime” crisis and other liquidity crises through various case studies |
