Credit Expectations and Concerns for the Remainder of the Year

Posted inFinance
Solid credit is one of the pillars of strong bank management, as well as one of the two main causes for bank failures (the second being poor interest rate risk management). The year 2023 was a notable exception to the rule, when SVB and others failed due to liquidity concerns. In my opinion, those failures were associated with the same critical principle that causes credit-based failures - concentrations. Diversification of risk is the bedrock of…

The Second Half of 2025

Posted inWealth Management
This year has been more tumultuous than many before it, with unprecedented economic gyrations. Short rates have remained stable, while long-term debt has reflected the unique economic uncertainties of our time. While this yielded lots of agonizing and stomach acid, it also helped steepen the curve somewhat, and contributed to some margin relief among many banks. Industry leaders shared their main concerns last year as NIM, core funding pressures (both rates and magnitude), credit quality…

Thank Goodness for Jamie Dimon

Posted inGeneral Management
I’ve written in these pages before about my admiration of Jamie Dimon, his wisdom and his management style. Ever since our first meeting many moons ago I’ve been a follower and a fan. His Annual Letter to the Shareholders is a “must read”, and Chase’s strategic plan which they share from time to time has both data and insights that should guide us all. Tom Brown’s recent interview with Jamie had, as always, numerous perspectives…