Tasks completed in the ALM Treasury Division cover both the prudential aspect (compliance with external regulations and internal orders) and the optimisation aspect (management of the cost of funding and generation of the result from the management of the Bank’s balance sheet items).
One of the key risk management mechanisms in place at the Bank is a systemic transfer of structural risks from all business lines to the ALM line. Structural riska are: currency risk, liquidity and banking book interest rate. The ALM Line manages those risks centrally. Risk is transferred mainly through the transfer pricing system, which reflects the business financing strategy adopted by the Bank.
Key obligations entrusted with ALM Treasury comprise ensuring a balanced liquidity position accompanied with optimized costs of funding the Bank’s operations and an appropriate structure of assets and liabilities, including sensitivity to interest rate changes. Other units within this function focus on:
Other units within this function focus on: