ALM & Budgeting Services
Interactive online 4-hour Basic and Advanced ALM Training and Budget Training Classes are conducted using Zoom. ALM and liquidity concepts, policy guidelines, backtesting, What-Ifs, assumptions, strategies, and ALM reports will be discussed regarding interest rate risk, profitability, and opportunities. Click “Register Now” to get signed up today. Version 11.1 of CU/ALM-ware and Version 7.1 of CU/BUDGET-ware are used at the respective classes. Budget Training is offered Sept.-Dec. ALM Training is offered year-round.
An ALM Outsourcing relationship is a turn-key process in which we produce the necessary periodic ALM Reports, Liquidity Stress Tests, Key Ratios, and required What-If analyses. The CU/ALM-ware System has been tested and certified by CPAs. This process is augmented by consulting, strategies, and extensive policy development so you can focus on serving your members. Flexible reporting arrangements are designed to meet both your needs as well as regulatory requirements. ALM Outsourcing includes conference calls, CECL tools & solutions, Target Rate Structures & economic commentary, research papers, peer group data, and economic graphs.
The CU/ALM-ware System is an instrument-level ALM tool used by credit unions nationwide to monitor and control interest rate risk. The CU/ALM-ware System has been tested and certified by CPAs. In support of this System, we provide extensive ALM Consulting services to credit unions ranging from $10 million to $14.5 billion in assets. Since 1987, we have consulted credit unions on most areas of financial management. ALM Consulting includes conference calls, CECL tools & solutions, Target Rate Structures & economic commentary, ALM memos, research papers, peer group data, economic graphs, ideas for What-Ifs or sensitivity analyses, and policy updates.
CU/BUDGET-ware is a Budgeting & Multi-year Strategic Planning Solution that helps management and the Board chart their future course of action. In addition to developing an annual budget, the multi-year component can be used to develop a longer term (up to 5 years) strategic plan or to support a charter expansion, a capital restoration plan, and a merger. CU/BUDGET-ware is integrated with CU/ALM-ware to facilitate the transfer of data.
We have trained hundreds of Boards and ALCOs over many years. Our interactive 1 or 2-hour CU-specific ALM training via Zoom provides your team with the ALM knowledge specific to the CU’s Interest Rate Risk, liquidity and performance for oversight and governance. Learn how to interpret your ALM position and risk profile, investment strategies, peer group performance, contingency funding stress testing and more.
The two most common means of an ALM validation are a second opinion analysis and an independent review. We provide both of these services. (Backtesting is another validation approach but this is usually conducted in-house.) A second opinion ALM analysis provides you with an objective and independent interest rate risk assessment using either your assumptions or ours. The CU/ALM-ware System has been tested and certified by CPAs. An independent review is an in-depth assessment of your current ALM procedures, policies and assumptions.
The CU/ALM-ware System® and reports are used to measure and monitor interest rate risk and financial performance. The robust, instrument level System includes NEV analysis, the NCUA’s new NEV Supervisory Test, 5-year income simulation, liquidity and cash flow projections, Contingency Funding Stress Testing, Historical Key Ratios with peer group data and important tools to assess loan, investment and liability strategies prior to implementation. Ramp testing, immediate shock tests, yield curve shifts provide robust analytics and interesting What-If capabilities.
The CU/BUDGET-ware® System and Reports are used to develop a comprehensive balance-sheet driven budget and a 2- to 5-year Strategic Plan with variance reports, diagnostic reports, and Summary Executive Board Reports. CU/BUDGET-ware can be integrated with CU/ALM-ware for a complete forecasting package.
Investment Advisory Program for Credit Unions
sponsored by Brick Capital Management, Inc.
Brick Capital Management, Inc. (BCM) is a federally registered investment advisor offering a fixed-fee, low-cost Investment Advisory Program for Credit Unions.
“We are deluged with economic data every day. What is often missing is the “so what?” The Brick & Associates conferences provide us with this very important missing piece. An equally valuable benefit for us from attending this annual conference is it prepares our volunteers to ask better questions. The level of discussion, and debate, at our ALCO meetings has been significantly elevated because of these conferences. If budgetary constraints require you to cut back on conference attendance, I would suggest that this is one you keep on the “must go to” list.”
– New Hampshire FCU in Concord, NH
“I just wanted to extend my thanks for a great Board/ALCO Training Session. The Board commented on how well the information was presented and how easy it was to understand and follow along. I can tell you that the Board was completely engaged for the entire two hours! Your analysis was so timely given the ALM challenges we are facing. You’ve provided a fresh prospective and I fully believe it will make my job so much easier as we continue these discussions.”
-Dana Taglianetti- VP/Controller of Rhode Island CU in Providence, RI
“I heard many comments from other credit unions that this year’s conference carried messages that directly addressed what they were experiencing in this shrinking margin and pressured liquidity environment. Our experience is no different. I came home with fresh ideas to attack the problem instead of crouching in a corner and waiting for it to blow over. The Brick Conference always delivers a shot-in-the-arm that gives me my yearly booster that I always seem to need. Tough times require tough decisions and if we’re not all on the same page strategically, then unnecessary board and management friction could eat away at the organization.”
-Brian Barkdull, CEO of American Southwest CU in Sierra Vista, AZ