The great financial crisis of 2008 brought a slew of new banking regulations and guidance. More specifically, guidance related to best practices for liquidity risk…
We do not have to go back very far to remember a time when deposit betas were not even an agenda item in many Asset…
In a rising rate environment, bonds priced at a discount become more prevalent. Therefore, it is imperative that municipal bond investors consider the tax implications…
It’s that time of year when families start getting excited about the holidays and management teams at depository institutions start to worry about budget forecasts.…
It’s that time of year when families start getting excited about the holidays and management teams at depository institutions start to worry about budget forecasts.…
Bond refinancings or “refundings” are used by municipalities to save debt service costs on outstanding bonds or to modify certain bond covenants or financing terms.…
I recently joked that I have read an article every week for the past year that says a recession is starting the next month. But…
As most investors know, primary mortgage rates are priced off mortgage-backed securities (MBS). The value of MBS, like all long-term fixed-rate bonds, is influenced by…
Longtime financial strategist Jeff Caughron is retiring this year from The Baker Group after decades of service in roles including CEO and Chairman. He offers…
The Asset Liability Management Committee (ALCO) is an integral part in the management of a financial institution. It is the committee responsible for effectively managing…
The recent bank failures of Silicon Valley Bank and Signature Bank have shown that liquidity risk can produce a bank failure instantly versus a slower,…
Overview: The speed and magnitude of Fed rate hikes has been unprecedented, and we have emphasized that if continued it would likely force something to…
The Federal Housing Administration (FHA) recently announced a decrease to the annual premium charged to borrowers with FHA-backed loans. The reduction goes into effect for…
As we move through 2023, the possibility of a recession is at the forefront of most investors’ minds. Fortunately, most municipalities are in a good…
Bank balance sheets were adversely affected in multiple ways by the speed and magnitude of the rising rate environment in 2022. Most noticeable was the…
The global pandemic set into motion a series of historically unprecedented economic policies. Massive amounts of liquidity and stimulus from policymakers enabled a fast recovery,…
The global pandemic set into motion a series of historically unprecedented economic policies. Massive amounts of liquidity and stimulus from policymakers enabled a fast recovery,…
In early 2020, municipal credit concerns were abundant and tax revenue plunged due to pandemic shutdowns. Since then, average state and local tax revenue has…
As a young aspiring bank examiner in 2009, I first learned about interest rate risk management during a period of zero interest rate policy, which…
This question is likely to garner different responses, depending on who you ask, and a plethora of caveats. It is a tough call for the…