3 unchanged sentences
If rates are rising, and the level of rate-sensitive liabilities exceeds the level of rate-sensitive assets, the net interest margin will be negatively impacted.
−Removed: Conversely, if rates are falling, and the level of rate-sensitive liabilities exceeds the level of rate-sensitive assets, the impact on the net interest margin will be favorable.
+Added: Conversely, if rates are falling, and the level of rate-sensitive liabilities is greater than the level of rate-sensitive assets, the impact on the net interest margin will be favorable.
Managing interest rate risk is further complicated by the fact that all rates do not change at the same pace;
3 unchanged sentences
Rates may rise, fall, or remain the same.
−Removed: Our asset liability committee develops its view of future rate trends and strives to manage rate risk within a targeted range by monitoring economic indicators, examining the views of economists and other experts, and understanding the current status of our balance sheet.
+Added: Our asset liability committee develops their view of future rate trends and strives to manage rate risk within a targeted range by monitoring economic indicators, examining the views of economists and other experts, and understanding the current status of our balance sheet.
Our annual budget reflects the anticipated rate environment for the next twelve months.
4 unchanged sentences
If the ratio is greater than “one,” the dollar value of assets exceeds the dollar value of liabilities;
−Removed: the balance sheet is “asset sensitive.” Conversely, if the value of liabilities exceeds the value of assets, the ratio is less than one and the balance sheet is “liability sensitive.” Our internal policy requires management to maintain the gap such that net interest margins will not change more than 10% if interest rates change 100 basis points or more than 15% if interest rates change 200 basis points.
+Added: and the balance sheet is “asset sensitive.” Conversely, if the value of liabilities exceeds the value of assets, the ratio is less than one and the balance sheet is “liability sensitive.” Our internal policy requires management to maintain the gap such that net interest margins will not change more than 10% if interest rates change 100 basis points or more than 15% if interest rates change 200 basis points.
As of December 31, 2024, our gap was within such ranges.
34 unchanged sentences
Percent change
−Removed: The one-year gap ratio of (10.26) indicates that net interest income would decrease in a rising rate environment, and the EVE rate shock shows that the EVE would decrease less in a rising rate environment.
+Added: The one-year gap ratio of negative (10.08)% indicates that we would show an decrease in net interest income in a rising rate environment, and the EVE rate shock shows that the EVE would increase in a rising rate environment.
The EVE simulation model is a static model which provides information only at a certain point in time.
8 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.