Latest Content

News Alert: Examiners to Focus on Banks’ Ability to Manage COVID-19 Risks

CEOs take note: Bank examiners will be looking at how well your management team has assessed risks from the COVID-19 environment, whether and how you have changed your business practices, and if you have addressed these changes in your long-term strategic planning, according to an ...
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/ Intel, Invictus Blog

Sleepless CEO Nights: Say Goodbye to Traditional Pricing Benchmarks

By Leonard J. DeRoma, Invictus Group Director of Liquidity Analytics The last several months of the COVID-19 crisis have heaped an enormous and unexpected level of stress and complexity onto bank CEOs. Managing potentially serious credit problems with clients in various industries, learning to have ...
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/ Intel, Invictus Blog

Updated: Additional Data Shows Most Banks Saying No to CBLR

As we told you last month, two out of every three community banks chose not to opt into the Community Bank Leverage Ratio. We've updated our numbers as more banks file their Call Reports, but the trend continues. The latest numbers show just 1,709 banks ...
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Invictus Bank Insights – June 2020

COVID-19 Stress Testing:  An Essential Tool to Guide Banks through the Crisis and Beyond The financial fallout from the coronavirus is not going away anytime soon. Now that the all-hands-on-deck efforts to secure federal Paycheck Protection Program loans has passed, community bank executives need to ...
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/ Bank Insights, Intel

Podcast: Why Banks Should Know Their Margin of Safety During the COVID-19 Crisis

No one has a crystal ball that can predict when and how the economic fallout from the coronavirus will end. But community banks need a way to understand how their capital will fare as conditions change – and which loans they need to watch. In ...
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/ Intel, Invictus Blog

The Shortfalls of Loan-Level CRE Stress Testing in a COVID-19 World

By Adam Mustafa, Invictus Group CEO The coronavirus has presented the first threat to community banks since the 2008 financial crisis.  For the first time, stress testing is a real exercise.  What community banks across the country are discovering with dread right now is that ...
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/ Intel, Invictus Blog

News Alert: Two out of Three Banks Say No to the Community Bank Leverage Ratio

Thanks, but no thanks: That’s the resounding message from community banks about the new community bank leverage ratio framework. Two out of every three banks chose not to opt into the new framework, according to an exclusive Invictus Group analysis of 4,672 first quarter 2020 ...
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When the Hypothetical is Now: The Importance of Pandemic Stress Testing

By Kamal Mustafa, Invictus Chairman After the 2008 Great Recession and prior to the coronavirus pandemic, regulators turned to stress testing to establish bank capital adequacy levels. The Federal Reserve established a program called the Comprehensive Capital Analysis and Review (CCAR) for the largest banks, ...
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/ Intel, Invictus Blog

Why Banks Need to Get Ahead of the COVID-19 Economy

By Leonard J. DeRoma, Invictus Group Director of Liquidity Analytics The one thing we know about the future economic impact of COVID-19 is that we do not know what it will be. The internal optimist in all of us hopes that the lockdowns start to ...
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/ Intel, Invictus Blog

Regression Depression: Uh Oh, Your Model is Wrong

COVID-19 has every bank thinking about how to modify its reserves. Some of the largest institutions have taken double-digit hits on that basis. Community banks, understandably, are uncertain about what exactly they should be doing to prepare their balance sheets for the upcoming environment. Naturally, ...
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/ Intel, Invictus Blog