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The process of ensuring that a bank has enough cash and equivalent to meet its short-term obligations without incurring unacceptable losses. Relevance lies in its ability to maintain confidence, prevent insolvency, and ensure stable growth.

The potential for change in bank profitability caused by changes in interest rates. Ensuring the bank's earnings or capital are protected is key to financial stability and long-term profitability.

A technique to assess the difference in total value of rate-sensitive assets and liabilities over a certain time period. It helps to identify interest rate risk and manage it effectively.

A method used to measure the sensitivity of the bank's capital to changes in interest rates by assessing the weighted average life of assets and liabilities. It's vital for long-term risk management plans.

The process of identifying, assessing, and controlling risks associated with borrowers' inability to meet their debt obligations. Key to maintaining asset quality and preventing financial losses.

The requirement for a bank to hold a minimum level of capital to safeguard against any risk of default and ensure it can absorb potential losses. This is crucial for the stability and integrity of the financial system.

Dealing with the risk of loss resulting from inadequate or failed internal processes, people, systems, or external events. Its relevance is in maintaining efficiency and avoiding losses due to operational failures.

A committee responsible for coordinating asset and liability management and providing strategic direction. Key for decision-making processes and ensuring coherence between the bank's risks and returns.

A measure of the relationship between a bank's capital and its assets to ensure it does not take on excessive debt. Important for limiting risk exposure and complying with regulatory standards.

Regulatory standard designed to ensure banks have the necessary liquid assets to withstand a 30-day stressed funding scenario. It is essential for managing liquidity risk under adverse conditions.

A long-term liquidity measurement designed to ensure banks maintain a stable funding profile in relation to their assets and off-balance sheet activities. Important for promoting funding stability.

The risk of losses in the bank's trading book due to changes in market variables, such as interest rates, foreign exchange rates, and equity prices. It must be managed to protect the bank's financial health.

The possibility of losses due to fluctuating foreign exchange rates affecting the value of assets, liabilities, and off-balance sheet items. Managing this risk is important for international banking operations.

The process used by banks to measure how funding contributes to profitability and the cost of maintaining different business units. It's essential for internal business management and profitability analysis.