The factors affecting the investment

Growth of the average rate of bank interest, the increase in inflation over the previous period, reducing the level of solvency (credit rating) of the issuer; unexpected decrease the size of the sinking fund on the issuer's securities, increased taxation of income on debt securities. Results of monitoring the securities market conditions and economic development on the considered factors can improve the validity of administrative decisions made during the following stages of operational management portfolio of the bank. 2. Rapid assessment of the level of profitability, liquidity risk and develop a portfolio of securities. As a result of this assessment, which should be ongoing, are: Trends in the level of profitability, liquidity and risk of the portfolio as a whole, compliance level of profitability, liquidity risk and target parameters of the portfolio (portfolio type) that established the parameters of the scale "yield-risk" "yield-liquidity." Evaluation results are the basis for making management decisions about the need and direction of restructuring the portfolio. 3. The choice of the fundamental approaches to the operational restructuring of the securities portfolio of the bank. The theory of the operational portfolio management distinguishes two main approaches to the implementation of this control - active and passive. Category: Management Operations Commercial Bank