What is Asset-Liability Management and Why is it Important?

This video explains the fundamentals of ALM and the importance for financial institutions.

ALM is a critical strategy used by financial institutions like banks and insurance companies to balance risks and returns from mismatches between their assets and liabilities.

It helps manage various financial risks such as interest rate risk, liquidity risk, and credit risk, thus ensuring the financial institution's profitability, stability, and regulatory compliance.

ALM contributes to maintaining investor and customer confidence by demonstrating the institution's strategic planning and risk management capability, thereby underlining its long-term financial health.

I hope you find this video to be a useful resource in understanding the fundamentals of ALM!

#banking #alm

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