Level II: The Financial Performance Package

While it is certainly important to satisfy regulatory requirements, the ALM model is too valuable a tool to use in such a limited capacity. The most valuable use of the model is to provide an accurate forecast of the future, and this reporting package is designed to do just that.

The accuracy of the model depends on the quality of the inputs, and we pride ourselves on inputting both the data and the assumptions with a great degree of precision and foresight.

Most ALM service providers focus only on the regulatory risk assessment component of the output, whereas the focus of our Financial Performance package is on the overall financial performance of the institution, with interest rate risk and liquidity risk being but two of the components of this assessment.

Included in Our Financial Performance Package:

  • All Reports that are Included in the Regulatory Reporting Package
  • Executive Overview
    Includes written commentary and a set of graphics to support our analysis of the following areas:
    • Balance Sheet Growth
    • Earnings
    • Liquidity
    • Net Interest Margin
    • Net Worth
    • Interest Rate Risk
  • Detailed Trend Reports
    Includes both historical & future trends in the following areas:
    • Balance Sheet Trends, including Liquidity, Loan-to-Share, and Capital Ratios
    • Income Statement Trends
    • Average Yield Trends
  • Detailed Assumptions Pages
  • Economic Commentary from Third Party Forecasting Company
  • What-If Analysis
  • Webinar Presentations of Reports to Management Team, ALCO, and/or Board of Directors
So instead of viewing ALM as just another regulatory requirement, why not view it as a powerful tool that allows you to look into the future with a great deal of knowledge and confidence?
Objective Advisors, Inc. is a Registered Investment Advisory firm that is regulated by the Securities & Exchange Commission.