| Pub. Date | : Mar, 2023 |
|---|---|
| Product Name | : The IUP Journal of Financial Risk Management |
| Product Type | : Article |
| Product Code | : IJFRM020323 |
| Author Name | : Seema Kumari and Silender Singh |
| Availability | : YES |
| Subject/Domain | : Finance Management |
| Download Format | : PDF Format |
| No. of Pages | : 15 |
The aim of this paper is to identify the most significant studies and authors, as well as outline the distribution and effects of publications in the field of Asset-Liability Management (ALM) between 1983 and 2023, using bibliometric analysis. The data was extracted from the Scopus database for the period 1983-2023. A total of 488 documents were derived using VOSviewer and Biblioshiny software. The results show that the most productive journal is Insurance: Mathematics and Economics, the most cited author is Li D, and the United States is the top country with the highest level of collaboration in ALM research. Moreover, to know the current trend, a thematic map of keywords is analyzed using Biblioshiny R package and the co-occurrence of keywords using VOSviewer software. The study found that asset-liability management is the trending topic among researchers in 2023.
Asset-Liability Management (ALM) is defined as "managing both assets and liabilities simultaneously for the purpose of minimizing the adverse impact of interest rate movement, providing liquidity and enhancing the market value of equity." It is also defined as "planning procedure which accounts for all assets and liabilities of a bank by rate, amount and maturity" (Singh, 2013).
The term was first introduced in the 1980s; affluent individuals, hedge and mutual funds, banks, pension funds, and insurance firms, all adopted it. The Global Financial Crisis of 2007-08, which had an impact on the economies of both the United States and Europe as well as the entire world, caused a severe economic catastrophe. ALM tool was needed at the time to track and reduce risk as a result of a substantial demand to strengthen the banking system. This tool defines the strategy, policy, and approach to manage risk, while also controlling the interest rate and liquidity risk (Trasmontano and Neto, 2016).
The traditional banking system was challenged by developments such as rising global rivalry and technological innovation. In order to deal with those developments and remain competitive, banks had to implement comprehensive risk management (Kosmidou and Zopounidis, 2001). Banks are exposed to various risks. ALM helps banks recognize and control risk exposures and maintain the best possible balance between the asset and liability