Asset Liability Management: Strategic And Regulatory Issues For Asia Pacific Banks

In this paper, I review current Asset Liability Management (ALM) practices in the Asia Pacific region and discuss the factors driving their evolution towards worldwide best practice. I note that ALM, although aligned with Basel II and
market risk management, is a distinct activity crucial for a banks’ long term viability. Furthermore, sustainable ALM practice depends on creating real business benefits based on a bank’s commitment to a flexible but disciplined ALM process.

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