Bank Analysis School September 2023 - Presentations & Resources

Internal Use Only

Liquidity Question #1

Which asset below is the most liquid? • Loans • Municipal securities • Interest-bearing bank balances • OREO – Other Real Estate Owned

Internal Use Only

What Assets are Liquid? Cash & Due/Federal Funds Sold Interest-Bearing Bank Balances U.S. Treasury & Agency Bonds Corporate Bonds Municipals (rated issues will be more liquid than smaller non rated issues) Loans (Government guaranteed loans and conforming real estate loans could potentially be sold)

Most liquid

Least liquid