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...
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...
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...
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...
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...
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...
As the COVID-19 pandemic keeps the global economy in shackles, most community banks are not focused on strategic initiatives like M&A. However, there are two camps of banks that must...
During our recent COVID-19 stress testing webinar, I discussed how one of the primary goals of stress testing is to rank your loans based on their capital at risk as...
COVID-19 may be as contagious economically as it is medically. Community banks, whose lifeblood is interest income, have significant exposure to companies that have been hit particularly hard. They face...
Many community banks have been in touch with their borrowers to assess their financial condition during this precarious economic environment. Bankers are also segmenting their portfolios based on some of...
