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CRE risk management: Navigating hazards and opportunities

Abrigo

Stress testing, monitoring are essential Financial institutions should challenge assumptions about CRE risk while also watching for red flags as they manage the CRE portfolio. WATCH Takeaway 1 Banks and credit unions are critical sources of capital for businesses in their communities, so how institutions assess CRE credits matters.

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Loan Hedging for Community Banks in 2024

South State Correspondent

Community banks’ use of swaps (banks’ primary tool to hedge interest rate risk on loans) has increased substantially over the last ten years. Meanwhile, community banks face net interest margin (NIM) and fee income pressure. Meanwhile, community banks face net interest margin (NIM) and fee income pressure.

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If You Are Tired of Being Transactional, You Need A Hedge Program

South State Correspondent

An inverted yield curve, continued bank failures, and the desire to manage risk and offer clients higher service are all factors that are driving more community banks to adopt a loan hedge program. Community banks do this profitably by turning transactional accounts into relationships.

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If You Are Tired of Being Transactional, You Need A Hedge Program

South State Correspondent

An inverted yield curve, continued bank failures, and the desire to manage risk and offer clients higher service are all factors that are driving more community banks to adopt a loan hedge program. Community banks do this profitably by turning transactional accounts into relationships.

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New York Community's troubles are putting a stigma on fast growth

American Banker

Like the three regional banks that failed last spring, New York Community grew quickly over a short period of time. One analyst said there's now "permanent damage" to the "investor psyche around growth banks."

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

American Banker

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

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Why You Need To Use Funds Transfer Pricing in Banking

South State Correspondent

All domestic systemically important banking organizations and most large regional banks engage in some form of FTP practices and building blocks. However, over the years, there has been considerable debate at community banks on how to implement the principles of FTP to various balance sheet accounts like loans and deposits.