IIA
IIA-CFSA · Question #226
Asset/liability management is a planning tool designed to maximize earnings. ALM tries to create optimal risk/reward decisions and focuses on creating prices that achieve a desired spread. A sound…
The correct answer is D. All of these. See the full explanation below for the reasoning.
Question
Asset/liability management is a planning tool designed to maximize earnings. ALM tries to create optimal risk/reward decisions and focuses on creating prices that achieve a desired spread. A sound ALM policy must manage many types of risks such as:
Options
- ACredit risk
- BLiquidity risk
- CCapital risk
- DAll of these
How the community answered
(30 responses)- A10% (3)
- B13% (4)
- C3% (1)
- D73% (22)
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