ALM 101: Introduction to Asset/Liability Management-Part 3: IRR-Value at Risk
Abrigo
MARCH 25, 2022
ALM & measuring long-term interest rate risk Interest rate risk is measured through two approaches. This ALM 101 post describes the value at risk(VAR)/economic value of equity (EVE) risk perspective (long-term risk to market value of capital). It is the third in a series. . Would you like other articles like this in your inbox? Takeaway 1 Interest rate risk for financial institutions is the risk that earnings and market value may decline as market interest rates change. .
Let's personalize your content