The BSTDB’s capital is denominated in the basket currency SDRs (Special Drawing Rights), the constituents of which are: USD, EUROS, GBP, JPY. The ALM unit, which is under the authority of the treasurer, in conjunction with the Treasury, seeks to protect the BSTDB’s equity from adverse fluctuations in foreign exchange rates and interest rates.

 

As part of the day-to-day work, the ALM unit, via the Treasury, seeks to avoid any of these risks by ensuring that sufficient liquid funds are available, the BSTDB’s Assets closely match the BSTDB’s Liabilities, and that the ratios of constituent currencies within the SDR basket are maintained.