Remove Regional Remove Regulation Remove Risk Management
article thumbnail

CRE risk management: Navigating hazards and opportunities

Abrigo

Bankers should examine warning signs and shore up defenses for existing income-producing CRE loans as part of commercial property loan risk management. But understanding trends in their own portfolios and local markets can allow lenders to identify risk-appropriate CRE credits. The impact is not consistent.”

article thumbnail

Crafting an effective CECL Q factor framework for stronger risk management

Abrigo

For example, local economic conditions might weigh more heavily for a regional bank, while a national institution might focus on broader market trends. Documentation and support: Regulators expect transparency in the CECL Q factor process. Assign weights to Q factors: Not all Q factors will have equal importance.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

3rd annual Risk Management Summit proves “valuable” and “insightful”

Abrigo

More than 140 bankers and industry experts from over 30 states gathered in Nashville, Tennessee last month for the 3rd annual Risk Management Summit hosted by Sageworks. Many are feeling added pressure from their regulators, and one attendee mentioned the “stress testing ideas and requirements were beneficial.

article thumbnail

Fed: Supervisory problems on the rise for banks of all sizes

American Banker

In its biannual report on supervision and regulation, the Federal Reserve Board noted an uptick in governance issues with large banks. Regional and community banks, meanwhile, were plagued by IT problems and risk management struggles.

article thumbnail

FHLB reform: Implications for financial institutions

Abrigo

The FHLB system reform is precipitated primarily by its regulator, the Federal Housing Finance Agency (FHFA), which is performing a deep dive into all aspects of the FHLB in the wake of some disturbing actions , specifically with four of the five failed banks just weeks or days before failure.

article thumbnail

Regulators Can't Force Good Risk Management

American Banker

Financial incentives leading firms to strengthen risk governance internally is better than regulators mandating risk management standards.

article thumbnail

FDIC proposes stricter governance guidelines for regional banks

American Banker

issued a proposal requiring larger banks to implement a three-line-of-defense risk management model and increased board independence in response to observed weaknesses in corporate governance during past financial crises and recent bank failures. The Federal Deposit Insurance Corp.