A Little Perspective On Deposits

September 23, 2023Posted inPayments
During the pandemic, economic stimulus led to a surge in deposits of close to $4 trillion at its peak around April 2022. That’s a huge number, especially considering that the industry held total deposits of about $14 trillion in October 2019. While the country’s largest banks were the major benefactors of this surge (they gained $1.7 trillion of the pie, or a rise of 30% of their total deposits), the rising tide elevated all ships.…

The Frequency Of Black Swans

September 15, 2023Posted inNewsletters
At a recent Forum, Mark Turner wrote the following list: O Early ‘80s inflation O ‘86 stock market crash O S&L crisis late ‘80s O 2000 tech bubble O 9/11 O 2008 financial crisis O Pandemic O Inflation and Fed’s rate hikes O Regional bank crisis (SVB, Signature etc.) O Office CRE/Big city hollow out O Ukraine war O Climate change And, at a recent Bank Director Magazine issue, two old friends opined on board…

What Do Commercial And Business Banking Customers Want?

August 20, 2023Posted inNewsletters
We are experiencing a decline in C&I loan demand in many regions of the country, and an increase in loan types we are more cautious about than usual (CRE, ADC etc.). Banks are refocusing on deposits, but this doesn’t mean that loans are not front-and-center as we continue to seek profitable growth. It bears reminding during these times what loan and deposit customers are looking for. As has been the case since I started looking…