Regulatory Management

The Bank:

First Federal Savings & Loan Association of Greensburg (Greensburg, IN) and Taylor Advisors began working together in the 3rd quarter of 2014 in response to the bank receiving a public enforcement action from the OCC.

The Challenge:

The OCC outlined requirements for the former OTS institution in order to become compliant with applicable OCC laws, rules, and regulations, which included:

  • Writing a Capital Plan consistent with OCC guidelines and creating procedures to implement it.
  • Revising the ALCO Process, selecting an appropriate ALM model, developing IRR assumptions, implementing internal controls, and conducting a back-testing analysis.
  • Enhancing the liquidity management process with a formal comprehensive contingency funding plan.
  • Improve earnings performance and retention.

The Solution:

Taylor Advisors worked with the bank to develop a step-by-step process in order to comply with all requirements in the enforcement action within the short timeframe stipulated by the OCC. In addition to regulatory compliance management, during quarterly meetings Taylor Advisors focused on profit enhancement strategies in various parts of the balance sheet.

A Word from the Client:

“We started working with Taylor Advisors approximately three years ago. We had never worked with an advisor such as Taylor Advisors. Our external audit firm recommended them to us; it was in reaction to not having an ALCO, and criticism from our federal government regulator, the OCC.

Federal regulators during the last three years seem to be very focused on smaller institutions, such as ours, having professional advisor help. The federal regulators had given us criticism in eleven different areas. We had tried to work with other advisors and we were not able to satisfy the regulatory requirements. Once we switched to Taylor Advisors, we seemed to fair very well with the federal regulators.

Taylor Advisors is not only well respected and thought of very positively by our audit firm, they also have that same level of respect with the federal regulators. Once we started working with Taylor Advisors, we quickly got approval from our regulator in regards to having the requirements for having an ALCO that knows how to satisfy their requirements. Taylor Advisors helped provide us with the capital plan up to the OCC satisfaction.

So, absolutely, yes, I would recommend Taylor Advisors to other institutions. We have found them to not only be professional and well respected, but we’ve found them at the human level to be very patient and easy to work with.” -James 

For details on the performance of Taylor Advisors’ investment advisory clients, please contact us at at sasha@tayloradvisor.com or 502-412-2205.