Asset Liability Management

PolyPaths Asset Liability Management (ALM) integrates accounting and income simulation with market value economics and risk.  It brings the same robust analytics that drive PolyPaths Trading & Risk Management solution to the strategic challenges of managing a balance sheet, with an emphasis on modeling, transparency, flexibility, and efficiency. By bridging the gap between risk economics and accounting, PolyPaths ALM revolutionizes the calculation and reporting of assets and liabilities to improve risk measurement and decision making.

PolyPaths ALM puts income simulation in the hands of the decisions makers – across the corporation, in a division or unit, or at an individual level. Business users can change any element – accounting, products, funding, hedging, balance sheet targets, cash management, risk targets – and see the results in just minutes.  It offers a robust set of features and capabilities including:

REAL TIME ACCOUNTING

All accounting treatments are elective and visible on one screen. Users can change accounting elections on the fly and see reports in just minutes for the full bank simulation.

FLEXIBLE ARCHITECTURE

PolyPaths ALM uses a familiar Excel-based interface so that anyone can run income simulations.  And it leverages the same analytics in PolyPaths Trading & Risk Management for instrument calculations and scenario analysis. Like Trading & Risk Management, ALM can also be deployed on the desktop and use Distributed Processing and an Enterprise Database.

COMPREHENSIVE REPORTING

PolyPaths ALM features comprehensive reporting capabilities including:

• 40 standard reports for Balance Sheet, Market Value, Book Income, Cash Flows and Risk (Duration, Convexity, Volatility)
  
  
• 40 reports for FAS hedge relationships
  
  
• 40 transaction reports on funding, hedges and user-defined relationships
  
  
• 15 performance ratio reports
  
  
• Click from the balance sheet all the way to instrument level.  Users can also see a balance sheet strategy across multiple scenarios side by side as well as multiple balance sheet strategies for a single scenario side by side.

FAST TIME SIMULATION RUN TIMES

ALM separates instrument-level calculations from simulation calculations for faster run times. ALM runs the accounting, aggregation and reporting in minutes including new product, funding, hedging, cash management and risk targeting.

RIGOROUS QUALITY CONTROL

ALM includes a “Report Checker” tool that tests consistency on all instruments, reports and identifies any modeling errors.  Global Model Settings provides easy side-by-side viewing of portfolio files for consistency. ALM also provides sophisticated tools to validate version changes and easy viewing of transaction reports to reconcile any process, account or instrument.

LICENSING OPTIONS

Like PolyPaths Trading & Risk Management, ALM can be licensed according to your specific user, processing and data management needs: