ACI
3I0-012 · Question #386
What is Funds Transfer Pricing in the ALM process?
The correct answer is B. A method used to measure how much each source of funding is contributing to overall profitability. See the full explanation below for the reasoning.
Question
What is Funds Transfer Pricing in the ALM process?
Options
- AA maturity analysis of a bank's interest-bearing assets and interest-bearing liabilities.
- BA method used to measure how much each source of funding is contributing to overall profitability.
- CA calculation of the spread between the duration of the interest-bearing assets and the interestbearing liabilities.
- DThe evaluation and management of the gap between a bank's volume of loans and deposits.
How the community answered
(33 responses)- A12% (4)
- B82% (27)
- C3% (1)
- D3% (1)
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