Liquidity management.

CFR · 2024-01-01 · US · Title 12

(a) (1) Evaluate the potential liquidity needs of its membership in a variety of economic scenarios; (2) Regularly monitor and demonstrate accessibility to sources of internal and external liquidity; (3) Keep a sufficient amount of cash and cash equivalents on hand to support its payment system obligations; (4) Demonstrate that the accounting classification of investment securities is consistent with its ability to meet potential liquidity demands; and (5) Develop a contingency funding plan that addresses alternative funding strategies in successively deteriorating liquidity scenarios. The plan must: (i) List all sources of liquidity, by category and amount, that are available to service an immediate outflow of funds in various liquidity scenarios; (ii) Analyze the impact that potential changes in fair value will have on (iii) Be reviewed by the board or an appropriate committee no less frequently than annually or as market or business conditions dictate. (b) (1) (2)

official document · source cfr-2024 · id 12:§ 704.9