Appraisal Ordering Service

To proactively manage the current volatility of interest rates and complexity in the markets, the need has risen for our current and prospective clients to actively review and improve their current interest rate and liquidity risk policies and procedures. RDK has developed an Interest Rate and Liquidity Risk Review to assist in this process. Our reviews cover the bank’s policies and system of internal controls; internal risk measurement system; risk measurement data inputs; scenarios used in the risk measurement system; risk measurement calculations; and the back-testing of the bank’s modeling software.  As part of each review, we assess the application of these items by the bank’s Asset and Liability Committee (ALCO).

At the conclusion of our review, RDK will provide a report that clearly communicates our findings and determines if the bank’s procedures and modeling are adequate in relation to the complexity of the bank’ interest rate and liquidity risk profile.  We also provide feedback as it relates to currently recognized best practices and regulatory expectation.  Annual review of the bank’s interest rate and liquidity risk programs are required by regulators to evaluate the integrity, accuracy and reasonableness of the bank’s risk management processes in accordance with the requirements of the Joint Agency Policy Statement on Interest Rate Risk (FIL-2-2010) and guidance on Liquidity Risk Management (FIL-84-2008).  RDK provides a review that facilitates managerial and regulatory expectation of the bank’s oversight of interest rate and liquidity management.