discuss the view that interes rate risk management has been the most crucial in the risk management portfolio of commercial banks over the years.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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1.discuss the view that interes rate risk management has been the most crucial in the risk management portfolio of commercial banks over the years.

2. Explain the key principles identified by the Basel committee that needs to be followed to ensure sound corporate governance.link your explanation to the practical operation of a named bank.

3. With reference to COSO, outline 5 key characteristics of enterprises LLC risk management as applicable to a banking institution

4.discuss the view that asset liability management is of no significant due to technological advancement and globalization

 

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Interest rate risk is the risk of fluctuating interest rates impacting the value of an investment. Changing interest rates affect the net income of the banks by altering the cost of liabilities and value of assets. The fluctuation of interest rates will affect the net interest income of the banks.

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