Our efforts to mitigate interest rate risk are a combination of state-of-the-art modeling and old-fashioned common sense.
Thanks to our friends at ALM First, we have the benefit of a full array of highly sophisticated modeling tools, which help us understand the degree of risk that exists within our balance sheet. These same tools help us predict how those risks might change under varying strategies and changes in market interest rates.
While these modeling tools are extremely valuable, we also realize that the real world doesn't always behave exactly as the models may predict. For example, the challenging and uncertain economic conditions here in Nevada tell us that high levels of liquidity and flexibility in our balance sheet are well advised. Also, the relatively flat yield curve (at least in the shorter maturities) and record low levels of market interest rates strongly argue against lengthening loan and investment maturities.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
- Exclusive discounts on ALM and CU Times events.
- Access to other award-winning ALM websites including Law.com and GlobeSt.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
