Interest Rate Risk Services

Interest Rate Risk Services

Modeling

The ICBA Securities’ Risk Manager is the total package for interest rate risk modeling and measurement. The complexity of the processes used is dependent on your needs, the time and resources available, and the level of risk being managed. The Risk Manager models were recently updated based on new regulatory requirements.

You can choose the Standard service or one of the Premium services, all of which include the scenarios you need to meet current regulatory requirements and to analyze and report your interest rate risk exposure. Risk Manager is backed up by our support team.

The Premium Risk Manager packages offer greater flexibility and customization and are designed to help banks not just assess risk but also manage their balance sheet. They include customized rate scenarios, growth assumptions, compliance reporting based on custom ratio selections, and historic tracking.

Investment Portfolio & Balance Sheet Strategy

Through our Investment Strategies Department, we review investment portfolios, Risk Manager interest rate risk reports, and market data to help banks develop strategies that best fit their risk profile and objectives. Whether developing a strategy for the first time or refining it based on environmental changes, the Investment Strategists enhance your management process through their insights and ideas.

Commercial Loan Hedging & Interest Rate Products

Through Vining Sparks Interest Rate Products, LLC (VSIRP), banks can take advantage of a flexible framework that allows VSIRP to provide customized products and services tailored to the specific needs of individual customers. VSIRP focuses on the needs of middle market and community banks helping them manage interest rate risk, offer commercial loan hedging, and navigate derivative accounting complexities.

Through VSIRP, banks can offer long-term fixed rate loans to commercial customers while converting the loan to floating for the bank’s balance sheet. Banks can also use derivatives to hedge other balance sheet components. VSIRP provides accounting and operational support.

Loan Trading

Whether you are wanting to grow your loan portfolio or looking for sources of liquidity, ICBA Securities’ Loan Trading Group can assist you through the process, turning the loan segment of the balance sheet into another segment of the balance sheet that can be managed based on the bank’s interest rate risk, liquidity, and business needs.