11 unchanged sentences
Interest rate risk arises from timing differences in the repricings and maturities of interest-earning assets and interest-bearing liabilities (repricing risk), changes in the expected maturities of assets and liabilities arising from embedded options, such as borrowers’ ability to prepay home mortgage loans at any time and depositors’ ability to redeem certificates of deposit before maturity (option risk), changes in the shape of the yield curve where interest rates increase or decrease in a nonparallel fashion (yield curve risk), and changes in spread relationships between different yield curves, such as U.S.
−Removed: Treasuries and LIBOR (basis risk).
+Added: Treasuries (basis risk).
An asset sensitive position refers to a balance sheet position in which an increase in short-term interest rates is expected to generate higher net interest income, as rates earned on our interest-earning assets would reprice upward more quickly than rates paid on our interest-bearing liabilities, thus expanding our net interest margin.
19 unchanged sentences
The changes to net interest income shown below are in compliance with the Company’s policy guidelines.
−Removed: As of March 31, 2023:
+Added: As of June 30, 2023:
Change in Interest Rates
10 unchanged sentences
This analysis measures the difference between estimated changes in the present value of the Company’s assets and estimated changes in the present value of the Company’s liabilities assuming various changes in current interest rates.
−Removed: The Company’s economic value of equity analysis as of March 31, 2023 estimated that, in the event of an instantaneous 200 basis point increase in interest rates, the Company would experience a 3.15% increase in the economic value of equity.
+Added: The Company’s economic value of equity analysis as of June 30, 2023 estimated that, in the event of an instantaneous 200 basis point increase in interest rates, the Company would experience a 2.93% increase in the economic value of equity.
At the same date, our analysis estimated that, in the event of an instantaneous 100 basis point decrease in interest rates, the Company would experience a 1.44% decrease in the economic value of equity.
3 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.