Liquidity Policy and Contingency Funding Plan Review

Young & Associates, Inc. can assist with the review of your bank’s existing liquidity-related policies and, based on the evaluation of the bank’s existing balance sheet composition and other characteristics, provide written recommendations for changes or additions to the existing policy/plan. Our assistance focuses on addressing the following:

  • Primary and contingent funding sources
  • Funding concentrations and limits
  • Stress events that are likely to increase the bank’s liquidity risk
  • Early warning indicators that would help identify an emergence of a potential stress event
  • Funding strategies for different stress levels
  • CFP team, responsibilities, and communication flow
  • Action plan for different stress situations
  • Cash flow planning and contingent funding monitoring reports
  • Stress testing / alternative scenario analysis