Asset/liability management

(redirected from Asset-liability management)

Asset/liability management

The task of managing the funds of a financial institution to accomplish two goals: (1) to earn an adequate return on funds invested and (2) to maintain a comfortable surplus of assets beyond liabilities. Also called surplus management.

Asset/Liability Management

Any active management strategy that involves coordinating a company's or fund's assets and liabilities such that the two together form an adequate return. Generally speaking, one aims to invest such that assets exceed liabilities as much as possible.
References in periodicals archive ?
MountainView Capital Holdings declared that it has taken over McGuire Performance Solutions, a provider of asset-liability management services to financial institutions in Scottsdale.
In his new role, he will be responsible for internal controls which promote safeguarding of assets, financial reporting in compliance with GAAP, regulatory requirements, budget and projections, and asset-liability management.
Ortec Finance designs, builds, and applies solutions for asset-liability management, ex-ante and ex-post risk management, performance measurement and risk attribution, and financial planning.
Prior to that, Kennelly served as a portfolio manager at BankBoston responsible for fixed income investment portfolio management and derivatives hedging as part of the Global Treasury Asset-Liability Management unit.
With over 25 years of experience in finance, he has a background in accountancy, asset-liability management and consulting.
Foote has been promoted to vice president, asset-liability management.
Passerine will direct the asset-liability management and funds transfer pricing functions, while providing leadership and support in the areas of capital and liquidity risk management and profitability analyses.
Fitch's rating actions reflect PFG's strong competitive position in the pension market, diversified and growing sources of profitability, very strong risk-adjusted capitalization, and sound asset-liability management.
The survey showed that more than 90% of respondents still use primarily traditional asset-liability management approaches, such as duration/convexity (93%) and cash flow matching of assets and liabilities (90%), to incorporate liability-side risks into the investment policy process.
In addition, the group generates favorable earnings, has very adequate capitalization and a highly disciplined approach to asset-liability management.
Such factors may include, but are not limited to, business and capital plan adjustments, changes in the bank's management and Board of Directors, regulatory actions or approvals, competitive pressure from other Federal Home Loan Banks and alternative funding sources, accounting adjustments or requirements, interest rate volatility, the bank's ability to maintain adequate capital levels, changes in projected business volumes, our ability to appropriately manage our cost of funds, changes in our membership profile or the withdrawal of one or more large members, the cost-effectiveness of our funding, hedging, and asset-liability management activities, shifts in demand for our products and consolidated obligations, and general economic conditions.