MANAGING OF BANK'S RISK – ASSET – LIABILITY MANAGEMENT (ALM)
Journal Title: Socioeconomica - Naučni časopis za teoriju i praksu društveno-ekonomskog razvoja - Year 2012, Vol 1, Issue 2
Abstract
ALM strategy is made in eighties like response to dynamic changes in the environment and financial markets aimed at optimizing the relationship of liabilities and assets. Banks had to when designing their strategies achieve a high degree of adaptability to long-term development and change, in terms of speed of methods and sources and investments. This strategy allows the management of the bank, starting from balance sheet items and their estimated risk rank, an active policy of structuring the assets and liabilities of the bank. The aim of this strategy is to minimize credit risk, interest rate risk and other types of banking risks arising from its business. The organizational aspects of the strategy are the responsibility of the ALCO (Asset and Liability Commitee), the governing body composed of directors and top managers.
Authors and Affiliations
Miljana Barjaktarović
Keywords
Related Articles
- EP ID EP125497
- DOI -
- Views 116
- Downloads 0
PUBLIC RELATIONS STRATEGY AND CRISIS COMMUNICATIONS
In today's business environment a company's ability to compete depends on many factors where significant place is taken by relations with different degments of pulic. The area of public relations can be considered from t...
GREŠKE I PROBLEMI U SEKUNDARNIM PODACIMA KORIŠĆENIM U MARKETING ISTRAŽIVANJU
Istraživanje marketinga koristi dva izvora podataka: primarni i sekundarni. Postoji mnogo prednosti u korišćenju sekundarnih podataka, ali postoje i mnoga ograničenja, kao što su različite vrste grešaka i predrasuda koje...
SMALL FAMILY BUSINESS IN FUNCTION OF THE SOCIO – ECONOMIC DEVELOPMENT
The process of global economic integration is having an increasing impact on national policy development, which is very difficult to control using traditional and under-empowered instruments of economic development. In t...
INTERNAL AND EXTERNAL AUDITORS INDEPENDENCE AND OBJECTIVITY IN FUNCTION AGAINST FINANCIAL CRIME AND CORUPTION
The independence and objectivity of internal and external auditors are viewed in the theory and praktice of auditing as attributes of strong corporate governance and public sector financial management. A few years ago a...
SPECIFICS OF MERGERS AND ACQUISITIONS IN THE BANKING SECTOR OF THE EUROPEAN UNION
Contemporary banking is characterized by constant development and constant changes that occur as a result of globalization that has reached the whole society, and the entire world economy. It is currently going through t...