Large Bank Supervision Forum 2023

Interest Rate Risk Disclaimer

Views and opinions expressed in this presentation reflect those of the author and do not necessarily reflect those of the FDIC or the United States

Internal Use Only

Large Bank IRR Exposure

Changing economic themes • Shift from low volatility rate environment

• Increased inflation rates • Shifts in the yield curve

Increased importance in interest rate risk management and scenario design of a sufficient magnitudes • Budgeting Versus Risk Management • Low probability/high impact scenarios • Appropriate IRR risk limits

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