LIQUIDITY RISK MANAGEMENT. (1) Within thirty (30) days of the date of this Agreement, the Board shall adopt a revised written Liquidity Risk Management Program (“Liquidity Program”) for the Bank. The Liquidity Program shall provide for the identification, measurement, monitoring, and control of the Bank’s liquidity risk exposure, and shall emphasize the importance of cash flow projections, diversified funding sources, a cushion of highly liquid assets, robust liquidity stress testing scenario analyses, and a formal, well-developed contingency funding plan as primary tools for measuring and managing liquidity risk. Refer to the “Interagency Policy Statement on Funding and Liquidity Risk Management,” dated March 22, 2010, (OCC Bulletin 2010-13); the “Addendum to the Interagency Policy Statement on Funding and Liquidity Risk Management: Importance of Contingency Funding Plans,” dated July 28, 2023; and the “Liquidity,” booklet of the Comptroller’s Handbook, for guidance.
(2) In addition to the general requirements set forth above, the Bank’s Liquidity Program shall, at a minimum:
(a) provide specific assigned accountability for development, execution, and oversight of liquidity risk management, including oversight by both the Board, or committee thereof, and Bank management;
(b) include appropriate policies and procedures for identifying, measuring, monitoring, and controlling liquidity risk exposures, that include at a minimum:
(i) assignment of accountability and processes for monitoring and managing intraday liquidity;
(ii) procedures and reporting to assess the risks related to deposit runoff, rollovers, wholesale, and alternative funding sources; and
(iii) reasonable limits to manage and control liquidity risk that are commensurate with the Bank’s complexity, business activities, and the Board’s risk appetite, that include at a minimum:
(1) minimum levels of highly liquid assets;
(2) limits or triggers on the structure of short-term and long- term funding of the Bank’s asset base;
(3) limitations on funding concentrations and other strategies to ensure diversification of funding sources; and
(4) limitations on contingent liabilities in aggregate and by individual category.
(c) include a no less than monthly generated sources and uses report to identify appropriate funding sources to meet projected funding needs over a short- and intermediate-term horizon (i.e., 30-, 60-, 90-, and 180-days); and
(d) include a no less than quarterly contingency funding plan that projects the Bank’s ...
LIQUIDITY RISK MANAGEMENT. Tier Description Annual Fee (per Fund)
LIQUIDITY RISK MANAGEMENT. Tier Description Annual Fee (per Fund) Tier 1 All Fund of Fund and In-Kind ETFs $1,000 Tier 2 All Funds holding < 50 securities $2,000 Tier 3 All Funds holding 50-500 securities $3,000 Tier 4 All Funds holding > 500 securities $4,000 Note: Each Fund will be designated as a specific “tier” upon the commencement of the - Liquidity Risk Management service. An annual review will be performed to certify the appropriate classifications are applied for the subsequent 12-month period. The annual review will occur at the end of each calendar year and be effective on the first of January each year. Any Fund launches will be reviewed at inception to ensure the appropriate “tier” is applied to the new Fund.
LIQUIDITY RISK MANAGEMENT. (1) Within one hundred and twenty (120) days of the date of this Agreement, the Bank shall submit to the Assistant Deputy Comptroller for review and prior written determination of no supervisory objection an acceptable written Liquidity Risk Management Program (“Liquidity Program”) for the Bank. The Liquidity Program shall provide for the identification, measurement, monitoring, and control of the Bank’s liquidity risk exposure, and shall emphasize the importance of cash flow projections, diversified funding sources, a cushion of highly liquid assets, robust liquidity stress testing scenario analyses, and a formal, well- developed contingency funding plan as primary tools for measuring and managing liquidity risk. Refer to the “Interagency Policy Statement on Funding and Liquidity Risk Management,” dated March 22, 2010, (OCC Bulletin 2010-13); the “Addendum to the Interagency Policy Statement on Funding and Liquidity Risk Management: Importance of Contingency Funding Plans,” dated July 28, 2023, and the “Liquidity” booklet of the Comptroller’s Handbook, for guidance.
(2) In addition to the general requirements set forth above, the Bank’s Liquidity Program shall, at a minimum:
(a) provide specific assigned accountability for development, execution and oversight of liquidity risk management, including oversight by both the Board and senior management;
(b) include appropriate policies and procedures for identifying, measuring, monitoring, and controlling liquidity risk exposures, that includes at a minimum:
(i) assignment of accountability and processes for monitoring and managing intraday liquidity;
(ii) procedures to ensure that sufficient funds or access to funds exist to meet such cash flow needs under both expected and adverse conditions, including an adequate cushion to meet any unanticipated cash flow needs; and
(iii) procedures and reporting to assess the risks related to deposit runoff, rollovers, wholesale, and alternative funding sources;
(c) identify appropriate funding strategies and provide limits to manage and control liquidity risk that are commensurate with the Bank’s complexity and business activities that considers internal and external factors that could affect the Bank’s liquidity, that include at a minimum:
(i) limits or triggers placed on projected net cash flow positions over specified timeframes under both expected and adverse business conditions that are based on realistic assumptions supported by sound historical economic data;
(ii)...
LIQUIDITY RISK MANAGEMENT. (1) Within sixty (60) days of the date of this Agreement, the Board shall submit to the Assistant Deputy Comptroller for review and prior written determination of no supervisory objection an acceptable written Liquidity Risk Management Program (“Liquidity Program”) for the Bank. The Liquidity Program shall provide for the identification, measurement, monitoring, and control of the Bank’s liquidity risk exposure, and shall emphasize the importance of cash flow projections, diversified funding sources, a cushion of highly liquid assets, robust liquidity stress testing scenario analyses, and a formal, well-developed contingency funding plan as primary tools for measuring and managing liquidity risk. Refer to the “Interagency Policy Statement on Funding and Liquidity Risk Management,” dated March 22, 2010, (OCC Bulletin 2010-13); the “Addendum to the Interagency Policy Statement on Funding and Liquidity Risk Management: Importance of Contingency Funding Plans,” dated July 28, 2023, and the
LIQUIDITY RISK MANAGEMENT. (1) On an on-going basis, the Board shall ensure adequate sources of liquidity in relation to the Bank’s needs. Liquidity must be maintained at a level that is sufficient to sustain the Bank's current operations and to withstand any anticipated or extraordinary demand against its funding base.
(2) Within thirty (30) days, the Board or a designated committee shall develop and submit to the Assistant Deputy Comptroller a Wholesale Funding Plan (“Plan”) to ensure that the Bank makes prudent use of wholesale funding sources, including brokered deposits (as defined in 12 C.F.R. § 337.6(a)(2)).
(3) The Plan shall set limits for the Bank’s use of wholesale funding sources based upon its anticipated liquidity and funding needs. The Plan shall include all wholesale funding sources currently utilized or contemplated to be utilized by this Bank, including, but not be limited to, the following:
(a) appropriate limits for Federal Home Loan Bank funding; and
(b) appropriate limits for Brokered Deposits.
(4) In determining the appropriate limits of wholesale funding, the Plan shall consider, at a minimum, the following:
(a) the dollar volumes, maturities, and costs of the funds;
(b) potential uses of the funds, i.e., short-term liquidity or restructuring of liabilities to reduce cost;
(c) alternative funding sources available to the Bank;
(d) whether the wholesale funding levels are in accordance with safe and sound banking practices.
(5) Upon completion, a copy of the plan shall be forwarded to the Assistant Deputy Comptroller for review and a prior written determination of no supervisory objection. The Assistant Deputy Comptroller shall have discretion to object to or condition the plan in his sole discretion.
(6) If the Assistant Deputy Comptroller provides a supervisory no objection to the Plan, the Bank may continue to acquire wholesale funding that is consistent with Bank safety and soundness and is in accordance with the Plan, unless and until, the Assistant Deputy Comptroller notifies the Bank that he objects to further acquisitions of wholesale funding. Such objection to further acquisitions shall be in the Assistant Deputy Comptroller’s sole discretion and subject to whatever terms or conditions he may establish.
(7) If the Assistant Deputy Comptroller objects to the Plan in its entirety, the Bank shall cease acquiring additional wholesale funding until such time as the Assistant Deputy Comptroller has approved a Wholesale Funding Plan or the Assistant Deputy C...
LIQUIDITY RISK MANAGEMENT. The Subadviser agrees to assist with the liquidity classifications and such other duties that may reasonably be delegated to a subadviser under the Fund’s liquidity risk management program in accordance with Rule 22e-4 under the 1940 Act.
LIQUIDITY RISK MANAGEMENT. An annual complex fee of $237,500 will apply for Liquidity Risk Management Services. Form N-LIQUID preparation and filing will incur a fee of $2,500 per filing, if required, in addition to the annual complex fee. The annual complex fee of $237,500 is based on the requirement to provide Liquidity Risk Management Services to 95 Funds. Any new fund launch (or closure) will increase (decrease) this fee. A review will occur at the end of each calendar year to certify the appropriate fee for the subsequent 12 month period.
LIQUIDITY RISK MANAGEMENT. (1) The Board shall immediately ensure liquidity risk management practices are strengthened. Such actions must include, but are not limited to:
(a) developing appropriate policies and procedures to govern wholesale funding activities, including the establishment of internal limits on funding concentrations;
(b) implementing a process to identify, measure, and monitor the Bank’s rollover risk in contractual funding sources (e.g., Fed Funds Purchased, Correspondent Lines, Repurchase Agreements, Certificates of Deposit, Federal Home Loan Bank Advances); and
(c) reviewing, revising and expanding, as necessary, its contingency funding planning to include quantitative stress scenarios and a process for regular testing of the plan to ensure it is operationally robust.
(2) The Board shall review the Bank’s liquidity on a quarterly basis. Reports shall set forth liquidity requirements and sources, and establish a contingency plan. Copies of these reports shall be forwarded to the Assistant Deputy Comptroller in the Bank’s quarterly report to the Assistant Deputy Comptroller.
LIQUIDITY RISK MANAGEMENT. (1) Within seventy-five (75) days the Board shall develop a plan designed to improve the Bank’s liquidity position and maintain adequate sources of stable funding given the Bank’s anticipated liquidity and funding needs. Such actions shall include, but not be limited to:
(a) reduction of wholesale or credit sensitive liabilities and/or increase of liquid assets;
(b) revision of the Bank’s strategic plan in light of the requirement of this Article; and
(c) development of a Contingency Funding Plan that identifies and quantifies potential triggers that could result in reduced availability of wholesale funding sources
(2) The Board shall take appropriate action to ensure adequate sources of liquidity in relation to the Bank's needs. Monthly reports shall set forth liquidity requirements and sources and establish a contingency plan. Copies of these reports shall be forwarded to the Assistant Deputy Comptroller in the Bank’s quarterly report to the Assistant Deputy Comptroller.
