Taylor Advisors is leading the pack when it comes to finding creative solutions designed to increase profitability and promote sustainable growth. Learn more about the waves we’re making and industry happenings in our blog.
Taylor Advisors is leading the pack when it comes to finding creative solutions designed to increase profitability and promote sustainable growth. Learn more about the waves we’re making and industry happenings in our blog.
Executives should understand where their institution ranks, compared to institutions in their market. To evaluate your institution’s performance relative to peers, start by studying the most recent quarterly data. Back in the summer of 2018, we published Deposit Diaries: FDIC Rate Caps and Hidden Liquidity Risk outlining flaws in the FDIC’s national rate calculation and the…
How important is Net Interest Margin (NIM) to your institution? Community financial institutions are heavily dependent on net interest income (NII). With the majority of earnings coming from NIM, implementing a disciplined approach around “NII management” will make the difference between underperforming and outperforming institutions. To see how your institution ranks vs national and in-state…
Investment portfolios and overnight cash positions have grown significantly at many financial institutions due to a recent surge in deposits and slower portfolio loan demand. With record low interest rates, carrying excess cash on the balance sheet has been costly. These factors are forcing executive teams to re-focus on the investment portfolio to help relieve net interest margin pressure from declining earning asset yields. In general, financial institutions have two options for managing the investment portfolio. We will refer to these as the Broker and the Advisor approach. The Broker Approach An institution’s financial executive (CFO, President,…
That was then…this is now. The concluding wave of the longest business cycle in US history has brought changes for financial institutions when it comes to liquidity. Just less than 12 months ago, the economy was moving along fine with low unemployment, growing productivity, strong consumer spending and overall business growth. The community financial industry…
In 2019, banks nationally were 87% dependent on net interest income. With the lions’ share of earnings coming from Net Interest Margin (NIM), implementing a disciplined approach around NIM management to capitalize on opportunities and avoid mistakes will make the difference between underperforming and outperforming institutions. As Financial institutions across the nation cope with market…
At the onset of COVID-19, financial institutions were hyper-focused on liquidity and ensuring ample available funding to meet potential demands from depositors and borrowers. However, over the course of the past three months, we have seen unprecedented growth in deposits. This deposit resurgence has primarily come in the form of non-maturity deposits, reminiscent of the…