Liquidity management.

CFR · 2024-01-01 · US · Title 12

(a) (b) (1) The purpose and objectives of liquidity reserves; (2) Diversification requirements for your liquidity reserve portfolio; (3) The minimum and target (or optimum) amounts of liquidity that the board has established for Farmer Mac, expressed in days of maturing obligations; (4) The maximum amount of non-program investments that can be held for meeting Farmer Mac's liquidity needs, expressed as a percentage of program assets and program obligations; (5) Exception parameters and approvals needed with respect to the liquidity reserve; (6) Delegations of authority pertaining to the liquidity reserve; (7) Reporting requirements which must comply with the requirements under paragraph (c) of this section; (c) (ii) (2) (d) (e) (2) (3) The CFP must: (i) Be customized to the financial condition and liquidity risk profile of Farmer Mac, the board's liquidity risk tolerance, and Farmer Mac's business model; (ii) Identify funding alternatives that can be implemented as access to funding is impeded; (iii) Establish a process for managing events that imperil Farmer Mac's liquidity. The process must assign appropriate personnel and executable action plans to implement the CFP; (iv) Require periodic stress testing that analyzes the possible impacts on Farmer Mac's cash flows, liquidity position, profitability, and solvency for a wide variety of stress scenarios.

official document · source cfr-2024 · id 12:§ 652.35