Risk Management - Part 6
This eCourse consists of two modules. Module 1 looks at the issues surrounding the identification and measurement of liquidity risk and the subsequent measurement of it.
Module 2 will focus on the structures banks put in place to manage this risk, as well as examining the liquidity risk regulatory environment. This module extends the analysis in Module 1 to describe how banks actually manage liquidity risk. Sound management of this risk can reduce the probability of serious problems occurring. The module also examines how regulators are becoming increasingly pro-active in establishing rules to be followed internally by institutions as well as in managing overall market liquidity.
On completion of this course, you will be able to:
- Explain how different forms of banking business generate particular liquidity risks
- Describe how liquidity risks can be measured using gaps and ladders, and how such measurements can be adjusted to incorporate future uncertainty
- Describe how financial institutions manage liquidity risk
- Explain how regulators dictate the context of liquidity management
Module 1: Liquidity Risk - Identification & Measurement
Topic 1: Identifying Liquidity Risk
Topic 2: Measuring Liquidity Risk
Module 2: Liquidity Risk - Management & Regulation
Topic 1: Managing Liquidity Risk
Topic 2: Liquidity Risk and Regulation