CECL and Your ALM Model
As we get closer to implementation of the current expected credit loss accounting standard or CECL, many of us are looking for ways to make transitioning easier – which includes linking operations to an exisiting ALM model.
CECL is best thought of as part of a holistic view that focuses on Enterprise Risk Management and not just credit risk alone. It is no longer advisable to operate in silos as you might have done in the past when credit loss reserves were calculated by the Credit Officer for the institution, while Asset/Liability forecasts were in the domain of the CFO. With the need to look at a more forecasted approach to determine credit reserves, it makes sense to leverage some of the assumptions that have been used in the past for developing loan assumptions in your ALM model.
Join this webinar to learn:
- How CECL will impact asset/liability management
- Effective capital planning and loan pricing processes
- What the changing regulatory landscape is like
Rob has over 20 years of experience in the financial services industry. Rob spent 15 years at Wells Fargo & Co in various strategic and leadership roles. These roles included time in Finance, Servicing, Fair Lending, Pricing Strategy, Business Intelligence, and Delivery Innovation. For the past 5 years, Rob has worked closely with financial institution leaders and regulatory agencies to develop a credit administration suite of tools specifically designed for community banks and credit unions. Rob is a faculty member of the Graduate School of Banking in Madison, Wisconsin. Rob also teaches for both the Financial Managers Society and LexisNexis Sheshunoff eLearning on topics ranging from loan grading, ALLL calculations, and stress testing.