9 unchanged sentences
As such, ALCO sets basic direction for the Corporation’s sources and uses of funds, establishes numerical ranges for primary and secondary objectives, monitors risk and the delivery of services, establishes subs to manage specific ALM activities, and monitors the counterparties engaged in ALM activities.
−Removed: Our ALM policy is reviewed by ALCO and
−Removed: the board of directors at least annually, which includes an evaluation of the ALM policy limits and guidelines in light of our risk profile, business strategies, regulatory guidelines and overall market conditions.
+Added: Our ALM policy is reviewed by ALCO and the board of directors at least annually, which includes an evaluation of the ALM policy limits and guidelines in light of our risk profile, business strategies, regulatory guidelines and overall market conditions.
As part of our management of interest rate risk, we utilize the following modeling techniques that simulate the effects of variations in interest rates:
25 unchanged sentences
-200 basis points over next 12 months (1.82) % (2.28) %
−Removed: -300 basis points over next 12 months (3.07) % NA
−Removed: NA - Downward 300 basis point scenario not considered necessary for period ended December 31, 2022
−Removed: The above interest rate simulation suggests that the Corporation’s balance sheet is narrowly asset sensitive as of December 31, 2023.
−Removed: In its current position, the table indicates that a 100-300 basis point increase in interest rates would have a modestly positive impact from rising rates on net interest income over the next 12 months and a more negative impact in a falling rate scenario.
+Added: -300 basis points over next 12 months (1.84) % (3.07) %
+Added: The above interest rate simulation suggests that the Corporation’s balance sheet is asset sensitive as of December 31, 2024.
+Added: In its current position, the table indicates that a 100-300 basis point increase in interest rates would have a positive impact from rising rates on net interest income over the next 12 months and a negative impact in a falling rate scenario.
The simulated exposure to a change in interest rates is contained, manageable and well within policy guidelines.
4 unchanged sentences
The projections assume shifts upward and downward in the yield curve of 100, 200 and 300 basis points occurring immediately.
−Removed: We would note that starting in the first quarter of 2022 that our simulations in a downward parallel shift of the yield curve, interest and discount rates at the short-end of the yield curve are allowed to decline below 0%.
Management has and continues to employ strategies to mitigate risk in these scenarios.
7 unchanged sentences
-200 basis points over next 12 months (16) % (13) %
−Removed: -300 basis points over next 12 months (31) % NA
−Removed: NA - Downward 300 basis point scenario not considered necessary for period ended December 31, 2022
−Removed: This economic value of equity profile at December 31, 2023 suggests that we would experience a negative effect from an increase or decrease in rates, and that the impact would become greater as rates continue to rise due to the duration of our interest-earning assets.
+Added: -300 basis points over next 12 months (33) % (31) %
+Added: This economic value of equity profile at December 31, 2024 suggests that we would experience a negative effect from a decrease in rates, and that the impact would become greater as rates continue to fall due to the duration of our interest-earning assets.
While an instantaneous shift in interest rates is used in this analysis to provide an estimate of exposure, we believe that a gradual shift in interest rates would have a much more modest impact.
11 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.