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Silicon Valley Bank Failure – Lessons in Interest Rate Risk Management

South State Correspondent

The abrupt collapse of Silicon Valley Bank (SVB) is a stunning example of bank leadership not understanding interest rate risk, running into trouble with an inverted yield curve, and ignoring the impact of a severe monetary correction on long-duration assets. Notably, most community banks’ duration risk is in the loan portfolio.

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The importance of peer benchmarking

Abrigo

As Tim McPeak, an executive risk management consultant at Sageworks, pointed out in a recent webinar , it may seem obvious, but benchmarking your bank against peers on some basic metrics is an important first step in any peer analysis. For example, the peer group may be based on geographic location or total asset sizes.

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2021 GonzoBanker Awards

Gonzobanker

million gets the vaunted consumer lender a much-prized bank charter, low-cost deposits to juice current earnings, and a business lending capability to drive future growth. Lifetime Leadership Achievement Awards. SoFi’s March acquisition of Golden Pacific Bancorp for $22.3 Congrats on a brave move and national recognition Jim!

Fintech 147
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Fundbox, Tipalti Tip The B2B Payments VC Scales

PYMNTS

Colombian alternative small business lending platform Sempli announced $8 million in funding this week from Oikocredit and Incofin CVSO, according to a press release. should look like,” and develop new features for its startup clients with a focus on payments and treasury management. Engage:BDR. OfBusiness.

Payments 149
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Wake up: Your bank is not efficient

Gonzobanker

Progress made in the efficiency ratio has primarily been achieved by: greater interest income through lending activity; a near-zero cost of funds environment; and. To reach the efficiency levels of a next generation bank, leadership needs to set more ambitious targets for employee and staff dollar productivity.

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2020 GonzoBanker Awards

Gonzobanker

Financial institutions went from having no PPP lending program at all to funding their first loan in 90 days – and this with literally last-minute regulatory guidance. This group deserves an extra spike of something in their holiday egg nog. group and part-time hacker that cobbled together PPP workflows on the fly in a few weeks.

Idaho 181
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Pandemic: No Problem. And Messages From Our Financial Services Providers

Jeff For Banks

Our Executive Leadership and business readiness teams are monitoring the situation and are in close contact with health authorities, including the Centers for Disease Control and Prevention (CDC), to ensure we’re acting on the latest guidance and information. As it evolves, you can always find the latest information here on Truist.com.

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