The ALM/IRR Process From Three Perspectives

The ALM/IRR Process From Three Perspectives

May 9-10, 2017 | Atlanta, GA

The ALM/IRR Process from Three Perspectives: Management, Modeler, Auditor is a comprehensive one and a half day program perfectly suited for anyone responsible for the ALM/IRR processes within their institution. Using an array of best practices in ALCO reporting, FMS Top-rated Speaker, Deborah Donaldson, President and CEO of Alpha-Numeric Consulting, LLC will explore the accountability and responsibility of IRR and provide you with tools and insights you can use to enhance your ALCO/board meetings as well as prepare your institution for regulatory scrutiny.

Throughout the program, Deborah will address the top 10 modeling mistakes, how you can avoid them, and provide you with the tools necessary to define accurate and institution-specific assumptions and category characteristics. You will learn to calculate equity and earnings scenarios, analyze model output, interpret results, evaluate limits, and identify potential exposures. Deborah will also use her expertise to customize the experience specifically to your institution and encourages attendees to bring their ALM/IRR policies and most recent IRR reports for more comprehensive study.

As an attendee of this program, you will learn to:
• Define effective policy and procedures requirements
• Evaluate the inputs, data, assumptions and requirements of an effective ALM modeling process
• Learn how to test and prove output accuracy and explore ways to improve the IRR model and increase the ALCO’s confidence in the results
• Discuss characteristics of effective ALCO reporting and the incorporation of IRR results into the overall asset-liability management function
• Analyze back-testing, stress testing and trend analyses
• Examine the regulatory requirements for model audits and validations


Day One

8:00 am
Registration and Continental Breakfast

8:30 am to 4:30 pm 

ALM Model Basics
• Components of an effective asset-liability management
• The modeling process: What an effective process requires

Models and Model Governance
• Definition of models
• Model governance and controls
• Regulatory guidance on model governance

ALM Model Policies
• Developing effective policies
• What information to include
• Best practices in ongoing policy development
• Model validation policies

How Models Measure Interest Rate Risk
• Overview of asset/liability management
• Income simulation models
• Economic value models

Establishing Risk Limits
• Developing and defining limits
• What’s appropriate for your institution
• Maintaining control while retaining flexibility

Understanding and Validating of Inputs and Outputs
• Written procedures and controls
• Model inputs (current position data, rates, prepayment, etc) 
• Key assumptions, assumption sources and support
• Non-maturity deposits
• Processing components
• Model math and change control

ALCO Reporting
• Model outputs and reports (most effective way to present results)
• Presenting model results
• Increasing ALCO’s confidence to make proactive decisions

Case Study

Day Two

8:00 am
Continental Breakfast

8:30 am to 12:00 pm 

ALM Modeling “Dos and Don’ts”
• Best practices in model-risk management
• Managing “model risk” – an important ingredient of an effective ALM process
• The top 10 modeling mistakes and how to avoid them
• Back testing
• Stress testing

Regulatory Expectations and Exams
• Increase in examiners’ expectations
• Preparing for your next exam
• Insight from recent exams
• Key areas of focus


Deborah Donaldson
President and CEO, Alpha-Numeric Consulting, LLC

Deborah Donaldson is a nationally known speaker and educator on a variety of profitability, risk and audit related topics. Prior to founding Alpha-Numeric Consulting, Deborah accumulated more than 25 years of industry experience in banking and consulting. She is the published author of the FMS’ second edition Internal Auditors’ Desk Reference Guide, as well as Auditing and Validating Asset/Liability Management Models: A Practical Guide for Community Financial Institutions. In addition to her involvement with FMS, Deborah is a member of the Institute of Internal Auditors and is also an editorial advisor and frequent contributor to the Internal Audit Alert.


Grand Hyatt Atlanta in Buckhead
3300 Peachtree Road NE
Atlanta, GA 30305

Special FMS Room Rate: $219 Single/Double
Deadline for Rate: April 17, 2017
For Reservations: Book online or call 888-421-1442

Identify yourself as an attendee of the Financial Managers Society program to receive the preferred rate. If you are making reservations through a travel agent, be sure to request that your reservation be placed in the FMS room block to guarantee the best rate.

Credit Hours

Earn up to 12 hours of CPE credit.
  • Level: Basic to Intermediate
  • Prerequisites: None
  • Advance preparation: None
  • Field of Study: Finance
  • Instructional Method: Live-Group

For more information regarding administrative policies such as concerns or refunds, call 800-ASK-4FMS (800-275-4367). FMS is registered with the National Association of State Boards of Accountancy as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses. Complaints regarding sponsors may be addressed to: The National Registry of CPE Sponsors, 150 Fourth Avenue, North, Suite 700, Nashville, TN 37219-2417 Web:


Member: $1,150 
Non-member: $1,750 

More Bang for Your Buck! Register for Both Programs and Save $200!
Maximize your CPE opportunities by attending both The ALM/IRR Process and Develop a Strategically Focused ALCO. Attendees of both programs will be able to capitalize on a $200 savings over individual registration for each seminar.

Refunds and Cancellations

A refund minus a $250 processing fee will be provided for cancellations received by FMS in writing four weeks prior to the program start date. No refunds will be given for cancellations received after that date. A substitution from your institution is welcome at any time. FMS reserves the right to change instructors or reschedule/cancel sessions when necessary. FMS is not responsible for airfare penalties incurred due to the cancellation of the program. For more information regarding refunds, concerns and/or program cancellation policies, please contact our offices at (312) 578-1300.

5/9/2017 - 5/10/2017
Grand Hyatt Atlanta In Buckhead
3300 Peachtree Road NE
Atlanta, GA 30305 United States

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