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Balance Sheet Paralysis, An Interest Rate Risk Dilemma

Eric Poulin

Senior Consultant

Darling Consulting Group

Eric is a Director at Darling Consulting Group where he assists community financial institutions with the delicate balance of optimizing earnings while prudently managing risk. In this role, he works collaboratively with ALCOs to develop comprehensive strategies related to all aspects of Asset Liability Management. Eric strives to distill complex concepts into actionable intelligence and delights in bringing education to the industry.

Joe Kennerson

Managing Director

Darling Consulting Group

Joe is a Managing Director at Darling Consulting Group. In this capacity, he works directly with financial institutions by providing solutions for their asset liability management process in the areas of interest rate risk, liquidity risk management, ALM modeling, regulatory compliance and executive-level education. He is a frequent speaker and author and directly advises clients in all aspects of ALM.

What’s the more significant margin concern, the Fed staying higher for longer or a Fed pivot and rates significantly lower? This is the interest rate risk dilemma weighing on many ALCOs today.


It’s a double-edged sword. The Fed staying (going?) higher for longer means deposit outflow, disintermediation, and beta acceleration resulting in a margin squeeze for many. A significant Fed pivot may not be any friendlier. It’s been proven over the past 15 years that a sustained low-rate environment (hopefully never see ZIRP again!) places pressure on asset yields that generally outpace funding cost relief.


It’s no wonder that a feeling of balance sheet paralysis is setting in. Please join Darling Consulting Group for this 60-minute webinar to help relieve this balance sheet paralysis and provide clarity to managing interest rate risk in this uncertain environment.


This webinar will focus on:

  • Bringing clarity to your interest rate risk position

  • Focusing less on speculation and more on listening to your balance sheet

  • Strategy recommendations for asset and liability-sensitive risk profiles

  • Live case studies to improve earnings and manage risk

  • The utilization of dynamic assumptions and pro-forma simulations to tell your story

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