Behavioural gap

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Revision as of 11:51, 29 October 2016 by imported>Doug Williamson (Add heading.)
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Banking.

A mismatch in the timing at which interest rate assets and liabilities are likely to reprice based on both:

  • Their contractual terms; and
  • An assessment of customers' and the bank's expected behaviour.


Behavioural gaps are often smaller than the related contractual gaps.


See also