The very real cost of liquidity risk is made transparent by regulation. Customers are ever more selective in deposit rate hunting. Understanding the stability of funding is more important than ever as customers have their own unique values and priorities. The tools required to understand these issues have historically existed in silos in banking, but those that invest in bringing them together will enjoy a significant competitive advantage as the value of high-quality liquidity risk management and deposit analytics continues to increase.
Authors:
David Howard-Jones – Partner, Finance and Risk Practice
Wolfram Hedrich – Partner, Finance and Risk Practice
Chris Evans – Principal, Finance and Risk Practice