Strategies for Managing Liquidity Risks in UK Banking Sector: A Study on Barclays Plc

This study evaluates the strategies undertaken by the UK banking sector, specifically Barclays Plc, for managing risks associated with liquidity aspects. It explores the significance of these strategies in risk management and their impact on the financial performance of Barclays Plc. The research aims to identify effective ways to manage the negative impact of liquidity risks and improve financial performance. The study provides insights into the importance of liquidity management in the banking industry and offers recommendations for Barclays Plc.

To evaluate strategies undertaken by the
UK banking sector for managing risks
associated with liquidity aspects: A study
on Barclays Plc
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ABSTRACT
The study summarizes key strategies adopted by UK’s banking industry for handling
multiple risks related to liquidity aspects in context of Barclays Plc. Barclays Plc deals in
different types of products which are retail banking, commercial banking, wealth management,
private banking, investment banking, wholesale banking etc. Main purpose of Barclays Plc in
providing financial services to the customers with purpose of attaining long term goals and
objectives. The research helps by improving my research skills such as decision making,
literature review, data collection, time management and many other. These skills helped in
completion of full project within given time period. At professional level, present study
supported me in getting of opportunity within banking sector. Therefore, current study is
important for me at personal and professional level.
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Contents
ABSTRACT....................................................................................................................................2
Contents...........................................................................................................................................3
1. INTRODUCTION.......................................................................................................................4
1.2 Problem statement.................................................................................................................4
1.3 Conceptual framework..........................................................................................................4
1.4 Purpose of the research.........................................................................................................5
1.5 Research questions................................................................................................................5
1.6 Structure of the research........................................................................................................5
LITERATURE REVIEW................................................................................................................7
Introduction.................................................................................................................................7
Conclusion................................................................................................................................15
RESEARCH METHODS..............................................................................................................16
Introduction...............................................................................................................................16
Conclusion................................................................................................................................21
FINDING & DISCUSSION..........................................................................................................21
CONCLUSION..............................................................................................................................30
REFERENCES..............................................................................................................................33
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1. INTRODUCTION
1.1 Background
Liquidity introduces to how assets can be converted into cash in easier way. It is an amount of
money that is available for spending and investment. It includes of notes, cash, bonds, treasury
bills and any other assets, which can be sold speedily (Ahmed, Bangassa and Akbar, 2020).
There are certain factors that directly affects liquidity position of an organisation. These are
obsolete inventory, bad debt, tight credit i.e. expensive or less trade credit.
Barclays Plc is a multinational investment bank that provides financial services to the
customers. Barclays Plc was founded in 17 November 1690 by the Nigel Higgins and
headquartered in London, England, UK. Main rationale regarding the selection of current topic
is to determine strategies undertaken by the UK banking sector for managing risks associated
with liquidity aspects. This is a main reason regarding the selection of current topic. Along with
this, current investigation is important at personal as well as professional level.
1.2 Problem statement
This research is helpful in evaluating the main strategies which are implemented by the UK
banking industry in order to manage the different risk related with liquidity to be maintained to
operate different operations. There has been a large gap between the usage of liquid funds by the
bank and the actual results that can increase the performance in a specific time frame. If banks
are not able to maintained an ideal liquidity ratio throughout the year they can face different
problems such as takeover of operation by other leading banks, disclose of main lending option
by central bank of country and even shift of customer account to other government banks (Al
Rahahleh, Ishaq Bhatti and Najuna Misman, 2019). Thus, with the support of this research
various useful ways are discussed which can help UK banks to maintain a decent liquidity option
so that any problem can be resolved and a respectable position can be preserve in the dynamic
competitive environment.
1.3 Conceptual framework
The main variable of this research in defining the conceptual framework for UK banking
industry is CAMLES model that help to check the overall liquidity of bank throughout a year. A
theoretical guideline is considering to be the wide as well as established series of laws,
perceptions, beliefs which support to define the importance of liquidity hold by bank to meet the
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basis requirement of various operations. In simple words, the conceptual framework is beneficial
in arriving the actual hypothesis, such as CAMLES model elaborate the entire, capital adequacy,
assets quality, management effectiveness, earning within year, liquidity for the accounting period
and the size of company (Aloqab, Alobaidi and Raweh, 2018).
1.4 Purpose of the research
Research aim
Main aim of this research is “To evaluate strategies undertaken by the UK banking sector for
managing risks associated with liquidity aspects”: A study on Barclays Plc
Research objectives
 To identify the strategies used by banking sector of United Kingdom.
 To investigate the significance of those strategies in management of risk associated with
liquidity aspects.
 To determine the impact of risks associated with liquidity aspects on financial
performance of Barclays Plc.
 To identify the ways for managing negative impact of risks associated with liquidity
aspects in improving financial performance of Barclays Plc.
1.5 Research questions
 What are the strategies used by banking sector of United Kingdom?
 What are the significance of those strategies in management of risk associated with
liquidity aspects?
 What are the impacts of risks associated with liquidity aspects on financial performance
of Barclays Plc.?
 What are the effective ways for managing negative impact of risks associated with
liquidity aspects in improving financial performance of Barclays Plc.?
1.6 Structure of the research
This is an essential part of the dissertation because it facilitates reader in determination of
chapters that will be required for completing current project systematically (Anagnostopoulos
and Kabeega, 2019). There are different chapters that will be needed for completing current
dissertation in systematic manner. These will be explained as below:
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Chapter 1: Introduction: In order to complete this chapter, there are various sub-activities,
which are problem statement, conceptual framework, purpose of research, research questions etc.
These are main activities that were helped in completion of such chapter systematically.
Chapter 2: Literature review: This chapter includes secondary information about the topic.
There are various sources used for collecting secondary information such as books, articles,
websites etc. This section also covers financial crisis, bank performance and CAMELS rating
model.
Chapter 3: Research methods: This is significant chapter because it will help in gathering of
accurate information through specific method. There are different methods that will be included
in this chapter such as capital adequacy,
Chapter 4: Findings and discussion
Chapter 5: Conclusion:
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LITERATURE REVIEW
Introduction
A literature review is a survey which helps in acquiring knowledge on specific topic with
the help of already available information (Appiah and Bisiw, 2020). It provides an overview of
the current information where with the help of various relevant theories, methods, etc. The main
objective of literature review is to identify the gaps in the current information.
What are the strategies used by banking sector of United Kingdom?
According to Jim Marous, with the increase in the level of competition and changing
behaviour of customers, the banking industry is facing challenges and need to focus on important
exercises. In addition to this, the banks also get higher growth and success at marketplace. Here
are few strategies which are adopted by banking companies in order to increase its sales and
profit margins.
 Focus on improving digital customer experience- Main asset of the banking sector is its
customers hence they are focusing on improving customer experience. As customer’s
decisions changes frequently on the bases of the ease and facilities they are getting from
the service provider. Furthermore, with the increasing level of competition there is rise in
new roles and titles in the industry as their main motive is to acquire large number of
customers. It helps company to strengthen its market presence and grab high market share
which in turn leads to attainment of objectives timely and effectively. With the help of
digital tool, the banking companies have provided many online services that is customers
can take help of banks from anywhere which means no physical presence is necessary.
This decline the level of cost occurred to the company that impact positively on its
productivity as well as profitability level. They are focusing on mobile engagement and
also focusing on applying various resources with the motive to improve customer
experience. The companies dealing in banking sector need to evaluate resources in order
to determine the steps which are essential to measure success.
 Data analytics capabilities- Customer insight and data analytics is effective tools which is
helping retail banking in overcoming the differences a taking steps according to trends.
Banking industry is forming effective strategies in order to improve multichannel
delivery and explore use of APIs, etc. The companies having data find difficulty in
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analysing what impact will it have on the performance of company (Bătae, Dragomir and
Feleagă, 2021). The problems faced by companies are IT complexity where due to some
technical issues there is deal in work process. Secondly due to lack of coordination the
chances of mistake are more which lead to deal in the completion of task. The risk in
banking sector is high in following behind in leveraging consumer insights as customer
expectation are increasing frequently. These expectations are meet by non-financial
competitors in the marketplace.
 Reduction in operating costs- As banking sector is charging less interest from customers
due to which more time and efforts are put by financial organisations in order to reduce
the costs at all possible areas. With the regular examination of digital banking
technology, the management need to put less efforts and also helping in reducing the
operation cost. In addition to this, banks are also able to improve its customer service that
leads to increase in customer base level and profitability level as well.
 Focus on customer outreach- It is important for the company to emphasis on reaching
large number of customers as it help in raising customer base level and growth at
marketplace. In addition to this, it also helps organisation to maintain its brand image and
sustain at marketplace for longer time period. With the use of digital and social media
marketing the primary focus of the banks is to connect with the customers and identify
their needs and preferences (Bhattacharyay, 2021). As the banks are using social media
for marketing, customer outreach is also an important factor for the effective
implementation of marketing strategy. The banks can strategically outreach the customers
through offering courses related to online security, mobile banking and financial literacy.
The marketing strategy for customer outreach should focus on maintaining relationships
with their customers.
 Combine personalization with the data: The marketing strategy of the banks should use
the data which will help the bank to provide better and personalized products and
services. The banks can provide automation algorithm through which the bank can
recommend the products and services based on the previous usage of the customers.
 Customer experience should be the priority: The marketing strategy of banks must create
a positive experience on their customers and the bank must deliver quality services to
their customers. The marketing strategies of the bank should focus on the techniques of
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interacting with the customers to have an effective two-way communication which can
help to understand the ideas of the clients.
 Provide loyalty programs: Loyalty programs are the marketing strategies that are adopted
by the banks through which the customers are rewarded when they are using the services
that are provided by the bank (Cowling, Lee and Ughetto, 2020).
What are the significance of those strategies in management of risk associated with
liquidity aspects?
According to Michael Deely, the liquidity risk in context of banking sector is raised from
long term assets. Liquidity is basically the ability of bank to clear its regular financial obligations
and would not face suffer from undesirable losses. As the companies belonging to banking sector
are converting their short term deposits into long term loans so high risk is involved in it. Hence,
it is important for them to take measures so that they would able to handle the situations in future
in effective and efficient manner. The significance of forming strategies in managing risk are as
follow-
 Identification of liquidity risks earlier- The liquidity management process within the
banking company should be forward looking that is helpful in meeting future
uncertainties. The finance department of companies should have effective team which has
ability to conduct risk analysis on extreme hypothetical situations and able to maintain
liquid assets in effective manner (de-Ramon, Francis and Milonas, 2017).
 Monitor and control liquidity regularly- Once bank able to identify and forecast its
liquidity risk they have to actively monitor and control the funds and the risk associated
with it. On the bases of the size and scope of the bank they should formulate or make
changes in its legal entities, business lines and international currencies.
 Conduct Scheduled stress tests- As uncertainties or emergency may take place at any
point of time the management of bank need to conduct regular financial stress tests in
order to anticipate different potential liquidity shortfalls.
 Create a contingency plan- The banking industry should build contingency plan in order
to effectively handle the different situations. With the help of effective new policies and
development of formal contingency funding plan they would able to overcome from
liquidity problem in various emergency situations.
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The institute need to effectively manage the liquidity risk and ALM system in order to carry its
operation and activities properly. Establishment of analytic framework with the motive to
calculate the risk and able to manage market events. It helps in minimize the impact of market
shocks and should look for better growth opportunities (Docherty, 2018).
Mainly due to poor liquidity management the banks face difficulties and problems as they
are not able to follow all the principles related to liquidity management. In order to establish
sound management, the banks must focus robust liquidity risk management in order to maintain
sufficient liquidity and to withstand a range of stress events. For liquidity risk management the
bank must take following measures which are -
 The bank must clearly outline the risk tolerance so that the management must know its
limits and accordingly build effective business strategy.
 Senior management with the bank must develop strategy, policies and practices according
to the risk and should also ensure that bank must maintain sufficient liquidity as it help in
dealing with the issues which arise in the future at any time.
Importance of strategy in management of risk- As with the increase in level of technology and
increasing needs of customers the digital customer experience is playing significant role in
growth of banking industry. As customers are able to quickly excess the banking services with
the help of their smart phones and need not to visit bank for small work. It has helped the
banking employees as they would able to utilize their time in other activities. Furthermore, it has
helped in reducing the operation costs with the use of various digital tools the process has
become easy and the changes of mistake are less. Moreover, it also assists bank employee to
improve its skills that is significant for both professional as well as personal life in this technical
environment. A bank should actively manage its intraday liquidity positions and risks to meet
payment and settlement obligations on a timely basis under both normal and stressed conditions
and thus contribute to the smooth functioning of payment and settlement systems (Elahi, 2017).
What are the impacts of risks associated with liquidity aspects on financial performance of
Barclays Plc.?
Financial performance is basically describing as process in which performance level of
company is determined for specific period of time with the motive to acquire information on
overall profits and losses of company. Analysis of financial statement in Barclay Plc involves
interest to lenders, security analysts, etc. The trade creditors of the institute are interested in
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knowing the ability to meet their claims. The long term creditors are paying focus on firm's
solvency and its profit level. In addition to this, they also emphasis on the level of liquidity that
bank is associated with. Hence financial ratios are the most effective tools which are used by
Barclay Plc in measuring and evaluating its financial performance. As the interest earned by
company is the primary source of revenue, a number of factors are impacting the interest margins
of company (Fijorek, Jurkowska and Jonek-Kowalska, 2021). The loan to assets ratio is been
used by company as a specific metric which is helping investors in having complete analysis of
operations of bank. The return on assets ratio is frequently used by Barclay plc as cash flow
analysis is difficult for them to accurately construct.
The risk of a financial asset is determined by the financial return of an asset or in other words the
higher return involves higher risk and lower return involves lower risk. Liquidity refers to the
capacity of an organisation to increase the asset meet the cash obligations. Liquidity management
states organisational ability to meet liabilities and other obligations which reduces the future risk
uncertainty. Liquidity risk states the financial structure of any business. There are two types of
liquidity risk, they are asset liquidity risk and funding liquidity risk. Asset liquidity risk refers to
probability to the risk of loss resulting when the business is unable meet the transaction. Funding
Liquidity risk is the probability of loss when the business is unable to meet the cash transactions.
Liquidity risk management is termed when the banks are not able to meet the obligations to
depositors arising due the expected losses. It affects the financial performance of the banks as it
limits the cash flow. It holds all the transactions in losses, spoils the goodwill in the market,
insolvency risk. When banks inability to maintain the liquidity is resulted from the banks unable
to find the liquid sources, liquidity pressure. These uncertainness occurs mostly when depositors
collectively withdraw money from bank. In Barclays Plc. formulates different financial policies
in order to meet with these uncertain losses. It maintains the liquidity ratio of cash to deal with
these uncertain events. These ratios are being determined by the Board of directors of Barclays
Plc. High liquidity ratios determines the ability of the bank to meet the financial obligations.
While preparing balance sheet adequate cash balances is maintained for meeting contingency
liability. Maintain these reserves helps to maintain financial stability and helps to meet future
obligations (Gakpo, Romulus and Mensah, 2021).
What are the effective ways for managing negative impact of risks associated with liquidity
aspects in improving financial performance of Barclays Plc.?
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According to Michael Deely, (2019), Liquidity is the ability of a bank to fulfil overall
regular financial obligations without suffering undesirable losses. In addition to this, Bank
transform short-term deposit that is savings account, checking & other assets into the long-term
loans. Banks within the procedure of financial intermediation are confronted with different forms
of non-financial and financial risks such as equity price, foreign exchange rate, credit, equity
price, interest rate and many more. All these risk are interdependent & impact one area of risk
from the range of risk categories. Therefore, it is important for the top authorities of bank to
attach considerable importance to enhance the capability to measure, identify, control as well as
monitor the overall level of risks undertaken. It is analysed that banks are more assailable to
liquidity risk in comparison to other financial institutions. Almost every transaction has impact
on the liquidity of bank so it is important to make use of liquidity risk management strategy
which ensure cash flow is enough & prepared for the external market changes as well. It is
determining that the level of liquidity mainly depends on the relationship among organisation
cash asset & the liabilities awaiting payments that can be fulfil rapidly. It is stated that if more
earnings are needed high and high investment is to be made that might result into low level of
liquidity. Liquidity management is getting more complex in comparison to last years and so it is
important for an organisation to make use of principles of robust liquidity risk management: The
principles is given below:
Identification of liquidity risk early: It is stated that liquidity deficit in an institution
has system wide repercussions so it is important for banks to be prepared prior to the shortfall
arise. It means that bank requires to have rigorous procedure in order to identify and measure
liquidity risk in an effective manner. The liquidity management procedure consists of a forward
looking framework to the project future cash flow from liabilities, assets as well as other items
include in the balance sheet. Moreover, it also involves the ability to implement risk analysis on
hypothetical as well as extreme situations. It also consists of the maintenance of liquid assets in
order to serve as a cushion at the time of possible cushion. Furthermore, identification of risk at
the right time will help respective bank to develop effective strategies and deal with them in
every situation as well.
Control and monitor liquidity regularly: Once an organisation analysed & forecasted
the liquidity risk then it is significant to control as well as monitor funding requirements and risk
exposures associated to it. It is analysed that the monitoring requirements to account for business
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lines, legal entities and international currencies is depending on the scope and size of bank. In
addition to this, it is important for a bank to account the banking compliances regulations which
may limit the conversion of liquidity asserts. There are various factors that is required to be
considered by business entity that monitoring and control tools consist of metrics as well as
indicators such as business specific liquidity indicators, global liquidity indicators, all necessary
regulatory ratios, advanced cash flow forecasting and so on. All this assist Barclays bank to
effectively monitor as well as control liquidity on regular basis in a proper manner.
Conduct scheduled stress tests: It is important for banks to conduct financial stress test
regularly in order to anticipate various potential liquidity shortage. This test consists of long-term
as well as short-term scenarios which analyse the sources of liquidity strain & also ensures
overall exposures align with the developed liquidate risk tolerance. It is important for a company
while conduct scheduled stress to include market wide stress scenarios of individual and
combined variables, institution specific strains and many more. This assist in proper
implementation of test that results positively for the company (Gatimu, 2019).
Develop a contingency plan: It take place after the results of stress test is developed and
herein the organisation adjusts liquidity risk management strategies. After this, the company
make use of new positions and policies in order to develop a formal contingency funding plan
which states the plan made in order to overcome with the liquidity shortfalls in different
emergency situations. An effective contingency plan is one that outlines the overall policies for
managing different stress environments, clarify escalation procedures, delegate responsibility
and many more. It is analysed that in the present time, financial markets are complex and
changing due to environment. Along with this, liquidity risk management is getting difficult in
comparison to last years. Moreover, this plan helps in dealing with any form of situations which
arise at any period of time.
Furthermore, the objective of liquidity regulation and supervision is to decline the
severity and frequency of banks liquidity issues. It is determining that the strong capital positions
minimise the likelihood of liquidity pressure and solve the liquidity problem of banks (Gutiérrez-
López and Abad-González, 2020).
CAMELS rating model
CAMELS is recognized international credit rating system which is used by bank regulatory
authority to evaluate financial institutions on the basis of six variables specified by acronym.
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Supervisory authorities allocate ratings on scale to banks. A score of 1 is deemed the highest, and
for each aspect, rating of 5 is deemed the worst. Banks with average score of lesser than two are
regarded to be greater institutions. Banking institutions with scores higher than 3 are deemed to
be entities that are lesser than satisfactory. Acronyms CAMELS stands for following factors used
to assess bank institutions by examiners:
Capital Adequacy
Examiners assess the capital adequacy of organizations by capital trend evaluation.
Examiners check whether institutions conform with the requirements for risk-based net worth
criteria. In order to obtain a higher capital adequacy rating, organizations must also conform with
the rules and procedures on interests and dividends. Other variables involved in assessment and
assessment of institution's capital adequacy include its development plans, economic situation,
risk-control capability, and lending as well as investment levels. Capital Adequacy
Ratio is computation of the accessible capital of bank expressed as proportion of risk-weighted
credit exposure of bank. Capital adequacy proportion, also referred to capital-to-risk weighted
assets ratio, is being used to safeguard depositors and facilitate stability and effectiveness of
financial structures around world (Kalaitzake, 2020).
Capital Tier-1: Tier-1 capital includes equity capital, capital resources, intangible assets
including reserves of revenue. Tier-1 capital often used to cover losses and therefore does not
require functions to be ceased by bank. Tier-1 capital is capital that is indefinitely and readily
accessible without being needed to stop working to cushion loses incurred by bank.
Unaudited RE, unaudited assets and total loss reserves are composed of Tier-2 capital. Such
capital bears losses in event of a corporation winding-up or in liquidating. In the event that bank
winds-up, Tier-2 capital is one which cushions losses, but it offers depositors as well as creditors
with a lower level of security. When bank loses all Tier-1 reserves, it's being used to cover
losses.
To measure bank's capital adequacy ratio, two capital rates are applied together and
separated by the risk-weighted assets. Risk-weighted assets calculated by looking at loans of a
bank, calculating risk and then allocating weights. Adjustments are rendered to value of assets
reported on balance sheet of lender when assessing credit exposure. In order to minimize risk of
insolvency, the risk-weighted assets are being used to assess minimum sum of capital which
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must be retained by banks as well as other entities. For each form of bank's asset, capital
requirement is focused on the risk assessment.
Asset Quality
Asset quality encompasses quality of institutional loan, representing institution's earnings.
Evaluating asset quality requires assessing investments risk variables that bank may pose and
measuring those variables against capital earnings of the bank. If dealing with real risks, this
illustrates bank's stability. Examiners often analyse how businesses, when compared with bank's
book values of investments, are influenced by fair market values of investments. Finally, asset
quality level is expressed by the performance of investment policies as well as practices
of organization.
Management
The evaluation of management decides whether institution is capable of responding
appropriately to financial pressure This aspect rating represents ability of leadership to figure
out, assess, take care of and monitor risks of daily operations of the organization. It encompasses
the capacity of the management to insure the organization's safe functioning as they conform
with internal and external guidelines that are required and relevant (Karim, 2019).
Earnings
The ability of bank to generate profits in order to be able to maintain its operations, grow and
stay competitive is a crucial factor in determining its continuing viability. Examiners calculate
this by measuring the bank's profits, development in earnings, sustainability, valuation
allowances, profit margins, overall net-worth level and consistency of the overall assets of bank.
Liquidity
To determine bank's liquidity, investigators aim at interests’ rate risk exposure, accessibility of
assets which can effectively be transformed to cash, reliance on shorter-term volatile financial
capital and the ALM technical competence.
Sensitivity/Size
Sensitivity encompasses how organizations may be impacted by real risk exposure. Assessors
measure the exposure of an organization to market risks by tracking management of the credit
concentrations. Throughout this way, investigators are likely to see how entity is impacted by
lending to particular industries (Lui and Lamb, 2018).
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Conclusion
Form the discussion under this chapter this has been asserted that with the assistance of
these four principles, a bank navigates with high confidence and security for the future. In
addition to this, it also helps bank to minimise the level of risk associated to the liquidity aspect
in order to enhance performance effectively. Moreover, a bank should develop liquidity risk
management framework which is integrated into the bank-wide risk management procedure. The
main objective here is to ensure with high level of confidence which the organisation is in a
position to address daily and withstand liquidity obligations which affecting the both secured and
unsecured funding.
RESEARCH METHODS
Introduction
There will be many methods and techniques which bank use for the purpose of maintain
their liquid position. They by formulating strategies regarding with management of CSR and
SLR as well as using tools of performance management and control able to mitigate risk arise
due to lack of availability of liquid assets. Every banking sector organization run their business
on the basis of evaluating their availability of assets they are able provides loans. On the basis of
recognizing business performance, they can maintain their position in business market. Thus
management department of bank's focus on maintain their liquidity in the business market.
Barclays Plc is one of the famous bank of UK which maintain its position in market,
since the day of its incorporation this bank is famous by the name of gold digger. However due
to the changes of environment, and increase in the competition rate, management
department of this bank focus on managing their availability of liquid assets for the purpose of
mitigate risk arise due to the shortage of cash or liquid assets. As this bank is considering or
know as provides of liquid assets. For this RESEARCH METHODS
There will be many methods and techniques which bank use for the purpose of maintain their
liquid position. They by formulating strategies regarding with management of CSR and SLR as
well as using tools of performance management and control able to mitigate risk arise due to lack
of availability of liquid assets (Lukwago, 2018).
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Every banking sector organization run their business on the basis of evaluating their
availability of assets they are able provides loans. On the basis of recognizing business
performance, they can maintain their purpose Barclays Plc use CAMELS, rating system.
CAMELS rating system: It is also known as CELS rating system which is developed in
America, the main purpose of originate this model is to evaluate and classify bank's performance
and their current liquid position. This system useful for credit rating agencies as on the basis of
measuring availability of liquid position rating agencies able to provides position of banks and
other financial institutions.
It is considering as famous tool of rating system, in which, organizations are rated on the basis of
measuring performance of financial statement of business entities for specific period of time. For
this purpose, ratio is calculated.
On the basis of measuring performance and availability of liquid, agencies are not close their
measurement to public but their result is showcase to the management department of financial
institutions (Meuleman and Vander Vennet, 2020).
Rating are given on the basis of recognizing 6 factors of bank, which are consider as the strength
of bank, these includes, capability, earning, assets management, liquidity and sensitivity. Rating
are proved by using 5 point of scale. In this case lower rating is better thus one stand for banks
which have sufficient balance of liquid assets and on the other side 5 rating scale stands that
financial institutions not have availability of sufficient liquid assets.
Capital adequacy: This term is defining as measurement of availability of cash and liquid
resource in order to fulfil and meet obligations of depositor as well as customers of bank, without
using additional capital or ceasing operations of bank. For the purpose of analysing capital
adequacy manager focusing on using Capital to Risk Weighted assets formula which useful and
beneficial in order to evaluate capital adequacy of bank.
Management department of Barclays Plc in order to manage their liquid assets use to measure
capital adequacy. On the basis of that it recognized that their capital adequacy rating was 1
which means that thus organization have sufficient capital, they are capable in order to maintain
their position in market and have sufficient capital to manage their liabilities.
Banking institutions need to focus on their work in such manner that they are capable to maintain
position of organization in such a way which useful in order to mitigate risk of financial loss.
Arises due to the availability of liquid resource. Barclays Plc face problems due to the impact of
17

Brixit agreement and then pandemic period thus their rating goes down, however this institution
maintain their goodwill in market which beneficial for the purpose of maintain their long term
position in the market.
Credit rating is measure on the basis of find out trend analysis, policies and interest rate, growth
plan, composition of capital, volume & risk management plan, availability of risk, allowances
towards loan accounts, membership, economical and business environment, on the basis of these
elements, examiner rate towards the bank (Mishra and Dasgupta, 2019).
Rating 1 states that organization is able to maintain their net worth as well as meet their
requirement of risk their will be no issue related with asset and they manage their resource with
effective manner by managing their capital.
Asset quality: This rating is useful for measure availability and quality of assets which
bank use for their operations. It is useful in order to addressees and evaluate quality of assets of
banking institution. It includes, measurement of loans, fixed assets, investment, value of real
estate etc. t is useful in measuring and analysing credit rating decision of effectiveness.
Rating 1 represent that bank have sufficient assets and their risk of portfolio is minimal, Credit
rating 2 is related with define that bank have high quality of liquid assets and these are classified
into 2 categories. Credit 5 showcase that banks suffers from quality problem of assets. Rating 4
is define as that bank needs to corrected and maintain quality of their or remove them from
organizations balance sheet. Credit rating 5 states that banks assets are poorly manage, they’re
not well underwriter or have high rate of risk investment.
Management quality: Management play vital role for successfully run of business
operations of a banking organizations. Thus with the evaluation of this scaler, manager able to
identify that whether their department able to successfully fulfil their responsibilities and duties
for maintain position of Barclays Plc within the market. These are useful in analysing objective
indicators. Management rating is measure on the basis of analysing liquidity, transaction process,
interest rate, strategic and other risk (Musthaq, 2020).
On the basis of that it is measure that Barclays Plc effective run their business cycle if
they have effective management department. On the basis of that they are able to understand that
each business department require to effective run their policies in such a manner which useful
and beneficial in order to effectual manage their business liabilities. Management quality is
import by applying effective policies on the basis of applying this attribute, credit rating is given
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at 2 which means that Barclays Plc able to manage their banking operations in international,
management in effect manner. however, they need to focus on using strategies and business
policies in such a manner which useful in increase corporation and communication as well as
ordination level among the management department. Which will beneficial in order to manage
all the business transaction and activities in such a manner that they can manage their capital
rating management element. This credit rating is useful in order to understand the requirement of
these field which help in attaining goals of Barclays Plc.
Earnings: It is considering as essential part of banking institution, thus measurement of
activity of assets can be recognized by identifying income generate from operating, non-
operating, sources. Efficiency of bank is evaluating on the basis of using this parameter. Which
beneficial in order to find out ability of organization to pay their dividends. With the use of
calculating return on asset ratio manager can evaluate how effective their bank can manage
liquid assets.
Manager in order to consider earning, need to take consider following elements which
includes, net profit margin, worth level, earning of essential capital information’s, adequacy of
valuation of assets, quality & composition of business assets, factors that affect credit rating
system (Ngeche, 2017).
There will be many issue which bank face thus while measuring management elements,
examiner focus on evaluate, number of physical assets, availability of succession of planning of
tools, audit program, system of record keeping, management between internal parties.
On the basis of evaluating Barclays Plc, they are able in order to find out the requirement of their
earring. It was measurable that according to earring ability. Barclays Plc in order to increasing
their earning capacity of on their internal policies and strategies which they use for the purpose
of evaluation each and every business process.
Credit rating on the basis of measuring earning element is given to Barclays Plc, was 3
which represent that Barclays Plc is effective manage and run their policies. In order to
increasing earning capacity. As due to the impact of pandemic period banks suffers from heavy
loses, thus they need to maintain their position in market. For this purpose, on the basis of that
they can effective manage and run business policies which useful in generate income as well as
helpful in managing business resource of banking institutions.
19

Liquidity: The term liquidity defines as the ability of bank to convert their assets into
liquid or cash form. For every bank is to essential to maintain their cash reserve ratio, which
useful and beneficial for the purpose of maintain position in market. Government decided a fix
rate, which every bank needs to maintain in the form of cash.
From every bank they need to maintain their liquidity position as their main work is to
dealing within cash and fulfil requirement of customers. While measuring liquidity examiner
evaluate, risk of interest rate, availability of short term funds, technique use of non-performing
assets (Obuobi, Nketiah, Awuah and Amadi, 2019).
Structure of balance sheet, business plan, capital trend, risk limits, structure of income
statement, cash flow statement, contingency planning, availability of cash ratio. By increasing
their liquid position, they can manage their liquid assets by increasing their cash flow activities
and change their policies and strategies. As Barclays Plc need to manage their risk related with
financial. On the basis of analysing balance sheet item, manager can able to find out which assets
is useful for managing liquid position of organization. And then on the basis of that strategies are
useful in order to manage assets which help in managing liquid assets.
Sensitivity: This parameter is use in order to find out sensitivity of bank towards
changing environment conditions. Which define that how its changes in interest rate, inflation
rate, economic policies, politically relations, foreign exchange rates, prices of commodities
directly affect banking operations.
On the basis of analysing these element and attribute management department of
Barclays Plc able to find out reason of no performing of their financial assets as well as find out
differences which useful for the propose of finding out requirement of business assets, which
will be beneficial in order to attain their goals as well as assets which useful in order to maintain
position the business market (Park and Oh, 2020).
Investigator give 3 rating start to Barclays Plc which states that even this bank has
sufficient capital management department of Barclays Plc not able to effective manage and deal
with changes arise in business environmental. They are not able to effective manage position in
their market for successfully handle changes. Thus they need to manage their sensitivity. As
management department of this bank need to formulate those strategies which useful in give
them stage and attain competitive advantage to maintain their position in between rivals financial
institutions.
20

They need to focus on understand each and every element which useful in applying effect
financial strategies and tools of measurement of marketing environment, which will beneficial
for the purpose of identifying how effective they can apply this system as well as on the basis of
that management department use policies which will be benefits in order to find out result of
sensitive analysis. Which useful in change policies and strategies. These are effect in change
scenario of sensitivity analysis an increase the capability of Barclays Plc to adopt changes in
which a way which beneficial to maintain position and give competition to rival institutions.
Due to lack of sensitivity analysis Barclays Plc face many issue specially they a have no idea
regarding future business activities and which directly impact on the financial performance and
availability of cash resource of the organization.
Conclusion
On the basis of that management department of Barclays Plc able to cover up their issue and
problem and understand as well as analysing future business policies and actions which
beneficial in order to find out resource that useful in maintain liquid position and well as useful
in of change in interest rate or other rate (Sandino, 2019). As not the basis for that management
department of Barclays Plc decide and formulate policies related worth providing loan as well as
requirement of tools which useful in order to manage to capital adequacy of Barclays Plc.
FINDING & DISCUSSION
Capital adequacy: This report is useful in order to find out requirement of capital
adequacy fund. Barclays Plc have sufficiency ability of capital resource however these resource
is not sufficient for future business aspect as due to the impact of environment conditions
Barclays Plc face many issue special related with the problem of money. They suffer from
financial problems in order to overcome this issue they need to formulate effective capital
adequacy strategy. On the basis of measuring the is attribute, 3 start are in to Barclays Plc, which
means they this organization is able to even maintain position in the market however
management department of Barclays Plc on the basis of finding gout the value of earning, profit,
availability of cash, liquid assets resource. Find out the real value for Barclays Plc, by use for
calculating ratio.
21

Debt Equity
Ratio
Year 2016 2017 2018 2019
Total Debt 160885 168709 175157 169448
Total Equity 64873 63905 62556 64429
Debt to Equity
Ratio 2.48000 2.6400
0
2.8000
0
2.6300
0
Capital adequacy includes on the balance of capital structure, which the measurement of
applying model it could be recognize that capital adequacy on Barclays Plc is useful for measure
the real position of organization in market (Seyfang and Gilbert-Squires, 2019). By using or
calculating capital trend analysis it has been observe that this organization can able to manage
their resources however they are requiring to focus on those policies and due trend analysis
which beneficial in order to find out those policies which useful in order to increase can inflow
activities and mitigate risk of assets and liquid risk. On the basis of that they can evaluate
capacity of each business policies which will be beneficial order to find put final result. On the
basis of that manager on the basis of that they can concludes which strategy and tools of business
policy benefits in order to mitigate the risk of finance.
22

Asset quality: On the basis of using model of measurement of effective and performance
Barclays Plc is getting 2 rating, which states that this bank effective manage their assets,
however they use fixed assets as compare to liquid due to shortage of these assets. On the basis
of that it recognized that management department of Barclays Plc need to formulate those
business strategies which useful and beneficial in order to n manage their liquid as well as cash
assets in such a way through which they can increasing their credit rating. Ass well as on the
basis of that they able to enhance their credit and debt business assets which useful in order to
complete their business operations.
2016 2017 2018 2019
0
0.5
1
1.5
2
2.5
3
3.5
4
Return on Asset: Net Income / Total Asset
ROE
Year 2016 2017 2018 2019
Net Income 1623 1922 1394 2461
Total Asset 71365 66016 63779 65660
Return on Asset: Net Income / Total
Asset 2.2742 2.9114 2.1856 3.7481
Barclays Plc in order to manage their business operation in the market need to understand
the relevance of assets and on the basis if that they formulate those polices and strategies through
which they can overcome the problem related to availability of liquid assets (Sosnovska and
Zhytar, 2018). On the basis of using model of measurement of effective and performance
Barclays Plc is getting 2 rating, which states that this bank effective manage their assets,
however they use fixed assets as compare to liquid due to shortage of these assets. On the basis
23

of that it recognized that management department of Barclays Plc need to formulate those
business strategies which useful and beneficial in order to n manage their liquid as well as cash
assets in such a way through which they can increasing their credit rating. Ass well as on the
basis of that they able to enhance their credit and debt business assets which useful in order to
complete their business operations.
The quality of assets of financial institution is important in determining its intensity and
level of success. Asset quality demonstrates quality of loans of Bank, which are part of main
asset that provides a significant proportion of its revenue Assessing quality of assets is critical in
assessing non-performing asset portion as a proportion of overall assets. The Bank should
make deliberate effort to broaden its loans to different market segments and/or business
institutions, as this would reduce its vulnerability. Bank's goal is to reach lowest possible number
of non-performing mortgages. As a result, benefit will be maximized if this is done. The sum of
non-performing loans has negative effect on the performance of bank.
Barclays Plc in order to manage their business operation in the market need to understand
the relevance of assets and on the basis if that they formulate those polices and strategies through
which they can overcome the problem related to availability of liquid assets (Sowah, 2019).
Because of cash and cash relevant assets goes down thus in the basis sf that management
department of Barclays Plc need to formulate strategies and use tools which useful in order to
overcome this problem. On the basis of using effective policies they are able to increase their
circulation of many which is benefit in order to find out result and maintain position of Barclays
Plc within their competitive business environment. The overall rating based on above discussed
fact of bank is 1 which reflects that Bank has good asset efficiency and fair credit management
practices. Weak points are minimal and bank's risk management is moderate in regards to capital
security and the ability of Board of Directors and managers. The standard of the investments
of financial institutions under such ranking group is of least concern for monitoring.
Management quality: Role of Board of Directors and Executive Panel in Barclays is to
conduct financial institution in smooth and decent way. In attempt for BOD and bank's senior
managements to be effective, costs have to be excellently regulated and productivity requires to
be progressively high in order to produce greater thresholds of profits. It describes why cost-to-
income ratio is included in quality management element of CAMELS framework. CAMELS
24

rating structure remains crucial in supervisory process as well as is utilised more easily to
highlight one subjective component-the quality of bank management.
2016 2017 2018 2019
0
10
20
30
40
50
60
70
80 76 73
66
63
Cost/Income ratio = Operating cost/Operating
income
Cost: Income Ratio
Year 2016 2017 2018 2019
Operating Cost 16243 15373 14027 13552
Operating Income 21430 21076 21132 21625
Cost/Income ratio =
Operating
cost/Operating income
76 73 66 63
The Group's overall operating expenditure of £6.6 billion has been decreased to $4 each
year compared to year-2018. Cost efficiency as well as cost discipline attributed to the positive
cost: revenue jaws of dollar 12 resulting in improved cost: income percentage of $57 (h119:$64).
Operating expenditures decreased from $3 to £6,563m highlighting cost efficiency gains as well
as ongoing cost discipline in current environment. Incomes jaws of $11 contributed in cost
of group: income ratio, with the exception of litigation as well as conduct, reduced to $56.
Compensations costs accrued by group reflective of entire business performance leading
to compensation: income proportion of $32.2 or (h119: $34.4). The overall performance in terms
25

of Management quality reflects lower absolute expenses and enhanced efficiency. Evaluation of
the management standard of Barclays Bank assures that the financial institutions meet with
regulatory guidelines and that significant risk management procedures are in effect. Quality
of Board of Directors as well as senior management of financial institution is crucial to long-
term progress and sustainability. BOD and the senior management require to be customizable
and resilient to issues and key changes in the market conditions in order for institution to be
financially viable and to stay competitive. Based on the analysis of ratio of Cost: income, bank
has been given rating of 1 which shows that The BOD and Management have high results and
effective risk management strategies compared to the complexity, complexity and risk exposure
of institution. Both grades of risk are recognized, assessed, tracked and monitored successfully
and continuously (Tvaronavičienė, Masood and Javaria, 2018).
Earnings:
Earning ability of Barclays Plc states its quantity as well as current trend scenario in bank’s
earnings, together with variables which can impact overall sustainability performance of
earnings. Basically, financial institution like Barclays’ current earnings ability act as measure of
bank’s actual financial performance. Bank depends upon earnings ability for meeting their
responsibilities like funding of dividends, sustaining satisfactory capital level, providing for
growths as well as expansion by investments as well as competitiveness within market.
Greater income normally reflects well fiscal conditions as well as less fiscal issues for
bank. Greater income here also linked with greater risks, that exposes bank to greater possibility
of bank’s failures. For such cause, other aspects of CAMELS model 33 regarded for holistic
perspective in this assessment of Bank’s stability.
ROE
Year 2016 2017 2018 2019
Net Income 1623 1922 1394 2461
Shareholder's Equity 64873 63905 62556 64429
Return on equity: Net Income / Shareholder's
Equity
2.501811 3.007589 2.22840
3
3.819709
26

2016 2017 2018 2019
-4
-3
-2
-1
0
1
2
3
4
5
Return on equity: Net Income / Shareholder's
Equity
As stated in above graph, Barclays Plc’s return on equity ratio during reached to 9.0%
which was 8.5%. In year 2017 and 2016, bank’s ratios were 4.4 % and 5.6 % respectively. There
is incremental trend in the ratio which reflects that bank’s interest income has been improved
consistently over the period. In spite of effects of pandemic, Barclays produced a net profit
before taxation of £1,3 billion (h119:3,0 billion) to h120, leading in return on the tangible equity
of around $2.9 (h119:9.1 billion) and EPS (eps) of 4.0p (h119: 12.1p). Pre-provisional profits
(PBT excluding credit impairments charges) increased from $27 to £5.0 billion, whereas
credits impairment charges expanded to £3.7 billion (h119: £0.9 billion). As in 2019, Barclays
Plc has reported 9% ROE which is near to criteria of 15% thus bank’s rating is 2 in this criteria.
The rating of 2 here implies adequate earnings which are able to support operating activities as
well as permit adequate level of the capital to be reserved after the efficiency and development of
the assets have been considered. Earnings that are comparatively fixed or experience slight
decline might also be assigned rating of 2 if level of earnings of financial institution is sufficient,
taking into consideration all required elements.
Liquidity:
27

Efficient liquidity management is reflective of the ability of Bank to fulfil its necessary
obligations, in particular to depositors. For bank, in attempt to sustain a satisfactory liquidity
position, the organization must have easily accessible direct exposure to ample funds, either
through increasing liabilities or through transferring bank assets at reasonable cost. If financial
institution were to experience liquidity crisis, this would not be allowed to satisfy short
obligations, and thus liquidity management will be of utmost importance (Waldron, 2018).
Loan-deposit ratio as reported by Barclays of around 82% as on year ended 31 Dec 2019,
stable because loans and advances reduced commensurately with bank’s deposits in this quarter.
There is declining trend in ratio over the period and currently the ratio is greater than the
standard criteria of 81% thus Bank’s rating would be around 3. This rating This shows levels of
capital-fund and financial management procedures which require improvement. Organization in
this rating bracket may lack instant access to financial resources on acceptable terms or could
have significant weaknesses in the management strategies of funds.
Sensitivity:
Sensitivity to the market risk implies the level of adjustment in international exchange
rates inflation rates, asset prices or stock prices that may adversely affect earnings of bank or
economic resources Concurred that although these things are crucial, interest rate threat
remains most important concern for banking. Risk identification is of considerable significance
in recognizing the success model of bank. Here pointed out that greater the exposure to
the market risk, more volatile financial stability of financial institution is. This review is focused
on the modelled results of consumer and corporate financial sector and contains the effect of
both commodity and equity systemic hedges. This implies an immediate parallel change in
28

interest-rate curves. NII sensitivity here is measured on the basis of constant balance sheet, that
is performance of the company is recouped in a predictable tenor as well as margin. Sensitivity
Analysis outlined suggests that 50 per cent of rate hikes pass and the price of deposit decreased.
This scenario doesn't really reflect price actions that will be taken in the case of cost hikes or
declines and is presented for explanatory purposes mainly. The sensitivities shown do not reflect
a prediction of the impact of the adjustment in the interest rates towards Group NII. During 2019,
the total gross capital and systemic hedge commodity contribution amounted to £1.8 billion. As
of 31 Dec 2019, IAS 19 pension balance for all plans was £1.8 billion (2018: £1.5 billion). The
UKRF, that is largest community scheme, has an operating surplus of around £2,1 billion (2018:
£1,7 billion). The change in this surplus being driven through higher than anticipated returns on
investments, payment of deficit mitigation contributions, revised mortality estimates, and weaker
than anticipated inflation, partly offset by decline in discount rate (Wansleben, 2020). Based on
above analysis Bank’s rating is rating 2 which implies business risk exposure is well regulated
and there's only moderate risk that earnings output or capital prices will be adversely impacted.
The performance of earnings or the amount of capital is appropriate for exposure of Bank to
market risk.
4.2 Discussion
From the above discussion, it has been observed that the banking mobile application provide
services where customers can check their bank balance, make online transactions and also can
deposit money in their accounts. This saves the time and money of customers which is one the
reason of increase in number of people using online applications. In order to identify and given
rating to bank, following elements are measure, credit rating lending, agriculture lending rate,
energy sector lending rate, foreign exchange, equities, commodities medical lending. Market risk
of bank denotes that bank able to control their risk on the basis of that bank can manage their
assets. With the support of cash and cash relevant assets goes down thus in the basis sf that
management department of Barclays Plc need to formulate strategies and use tools which useful
in order to overcome this problem. On the basis of using effective policies they are able to
increase their circulation of many which is benefit in order to find out result and maintain
position of Barclays Plc within their competitive business environment. In the above analysis, if
they can effective manage their policies and accounting transaction which useful in order to
recognize those elements which may become reason of decrement in the rating scale of Barclays
29

Plc. As well as by measuring the performance manager formulate policies and strategies which
will be effective for the purpose of evaluating business policies. On the basis of availability of
liquid position rating 23 star are given to Barclays Plc, which denoted that this bank has
sufficient capital however they need to manage it is effective manner.
In order to maintain their future business assets. As their balance is not sufficient for further
business activities and they need to formulate plan which useful and beneficial in order to
maintain liquid assets position in market. The above discussion also states that related with
management of quality of loan concentration which is related with how effective bank formulate
polices and practicalities as well as compare capital and earning structure of bank and find out
value of fair and market value of investments. Quality as well as trends of assets are used for
measure which help in finding out that whether these elements are useful in order to manage
resources. Even before they develop a treasurer and investment strategy, exposure to the larger
Barclays Community is indispensable, then we can put in experts to maximize strategic planning
as well as returns throughout bond funds.
A popular demand would be to guarantee that on both sides of the transaction and assist with
capital adequacy so, as a company, it's a place where company really concrete to the future
situations. There is a difference throughout the tools to generate an end-to-end funding profile
approach that covers both banking including investments. It is incredibly crucial to innovate to
provide consumers with approaches that satisfy issues they might have felt were impossible to
solve. The Barclays system is a good example about developing new technologies which will
give the opportunity for customers to control their liquidity with capital with one location by
enabling them in a given risk environment to provide greater level of control. Company assume
that the customer results are outstanding, combined with personal support from experienced
professionals in the marketplace. A first thing is to decide each region's holdings and ability for
risk. It works with investing professional to decide whether it will work even harder from that
now to make better plans and policies in nearby time.
CONCLUSION
In the end of report, it is concluded that interested parties in the bank must effectively have
direct exposure to liquidity risk relevant data. In the event of financial despair and instability,
banks failing to make such content accessible may not inspire much confidence throughout
market players. As seen in the take to the prior economic meltdown, the occurrence of any
30

economic shake-up will only precede an implosion if financial institutions are not forced to
expressly and pointedly specify what initiatives they are taking in an effort to assure stockholder
liquidity. The importance of this report to the publication can be seen in the role that it plays in
reviewing post-crisis initiatives introduced by banks in an effort to educate customers about their
capital adequacy ratio. Liquidity vulnerability really should not be disregarded as among the
causes for financial distress. The best way to combat its negative impacts is to obey the advice of
the Basel Committee and frame an appropriate liquidity strategic plan. The Barclays Community
escaping recession was only a warning for the leading industrialized and emerging economies to
from a moment before it hits again, for those bitter performance in future. These plans are being
planned by financial institutions all around the world. That being said, though UK is not actively
absent, this is seeking to determine the best way means to fix the existing economic disparities
triggered by liquidity problems. Staff members should mandate that banks to send reports at
frequent intervals regarding financial liquidity conditions and risks. Market information as well
as other freely accessible information about banks can also be used by managers. The object of
such data collection is to collection assist the manager in deciding whether a major business or
bank is causing liquidity risk or strain, and also evaluating the stability of the bank. In order to
improve their surveillance of the capital requirements of banks, managers can integrate this
information into a "emergency plan." It is also founded that centralised treasury function enables
the manager to control the overall liquidity in more effective manner, allowing to provide
flexibility and capability in the context of investment and funding. It also supports to fix up the
advance sweeping of cash across the different accounts in domestic or international within
Barclays bank as well as other financial institute operating in UK. This also enables to sweep the
total funds in automatic manner within a central managed account which are depended upon
specific balanced or uneven funds. One of the main advantage of this system is that it helps the
internal manager to regulate, streamline as well as be specific within the treasure accounts so that
overall cost and money involved in administrative can be reduced by automatic sweeping
procedure. It is stated that cash pooling solution for the bank can be beneficial in several ways
such as enables flexibility to be strengthened by compensating debit position toward credit
conditions and centralizing the treasury feature. This helps to increase the room for financing and
spending and enables the organization to leverage its place of importance which provides
31

physical or logical cash pooling solutions, such automated sweeping utilizing the Cash
Accumulation platform.
In conclusion, it is stated that customer monies management system enables Barclays
Community to choose where to separate the financial resources of customers into physical or
digital accounts marked simplifies the methods for handling the transactions of multiple
customers with the selection of document or internet access to the funds. Greater control without
notifying Barclays Community digital account holders let you raise and lower account holders. It
helps in detailed trying to report to sustain the legal as well as facts provided of their
organization. In order supply computerized managing money, providers can be incorporated with
your in-house structures. Virtual account holders involve rules-based payment features that allow
people to pay to customer accounts instantly, so Barclays Community just need to handle
aberrations. The process of notional pooling for the bank also allows debit roles to be offset
toward credit roles that decrease interest charged or boost income accrued. Saving organisational
time and expense ignores a need to psychologically transfer money and experts in money
management is essential tailor alternatives to the systemic needs and financial reporting of your
business. There are multi-layered accumulation constructions as well as a variety of services for
interest allocation. This ensures that Barclays Community maintain maximum flexibility about
the use of the available funds thorough investigating to sustain your reunification activities is
accessible to reach a significant target. In the context of sterling and currency deposits it can be
founded that it involves products that offer unrestricted transactions and furthermore access to
funds without notification will be used to handle global payments' excess money or financial
services. Providing tiered borrowing costs on those accounts, having to pay increased costs for
greater accounts. It is way to handle accounts via departments, internet or phone financial
services and also the assistance and regional product value from our experts in capital adequacy
are included to sustain well in the changing nature of banking sector.
32

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