About this paper
For years, the possibility that a bank would be unable to fully comply with its payment obligations was regarded as almost inconceivable. But the financial crisis of 2007 and 2008 revealed just how vulnerable banks were. Regulators have responded with new regulations, but it’s incumbent upon banks to manage liquidity more effectively. What does better liquidity risk management look like? And how can banks accomplish it? As explored in this paper, what’s needed are modern information systems for simulating and stress testing bank liquidity. These systems can help banks monitor and enable early detection of liquidity risks, as well as accurately determine sufficient liquidity at the optimal cost to the business.
SAS is the leader in analytics. Through innovative analytics, business intelligence and data management software and services, SAS helps customers at more than 75,000 sites make better decisions faster. Since 1976, SAS has been giving customers around the world THE POWER TO KNOW®.