Work out asset liability gap instantly with clear inputs, formula shown and shareable results.
A negative gap means more liabilities than assets reprice in the period, so rising rates squeeze net interest income. Multiplying the gap by the rate move gives the earnings at risk over that repricing bucket.
Repricing gap
Gap = rate sensitive assets - rate sensitive liabilities; ΔNII = gap × rate change
Figures are estimates based on the inputs given. Bank charges, regulatory minima and market rates change and differ between institutions and jurisdictions. This is not financial advice — confirm with your bank or treasury policy.
Only if rates rise. A liability-sensitive bank gains when rates fall, so the gap encodes a rate view.
It ignores timing within buckets, basis risk and optionality such as prepayment and early withdrawal.