Understanding and controlling the impact of economic changes on deposit costs ranks as the single greatest risk to bank financial performance as interest rate rise. In every increasing interest rate cycle since 1990, bank margins have compressed due to faster increases in funding costs versus asset yields. Given most bank's heavy concentration in non-maturity deposits today, the potential volatility to costs are greater now than ever before.
In this session, we will examine how a bank might review its depositor composition and changes in that makeup over the past decade to better craft pricing strategies and design products aimed at meeting the needs of depositors, without blowing up the overall interest expense.
What You Will Learn:
- What constitutes a "good" core deposit study
- Why a bank needs a more in-depth review of depositor profiles
- What changes took place in the past decade
- How those changes may play out in the coming years
- What are the financial risks of being wrong on your beliefs?
- Your options to build a more stable funding strategy to support the overall bank's risk profile
This course focuses on strategic decision making and more in-depth review of depositor data. Participants should have a basic understanding of the need for, and concepts of modeling or measuring depositor behaviors.
Dave Koch specializes in executive-level advisory services and is actively involved with Farin clients, developing capital planning strategy, loan & deposit pricing, evaluating interest rate risk and other ALM concerns.
During his 23-year tenure at Farin, he has become deeply invested in helping clients develop effective ALCO processes and is committed to helping the community financial industry develop workable strategies and risk management processes to improve financial performance, regulatory compliance and overall solutions to business challenges.
Dave is a popular presenter and a featured speaker at regional and national financial industry events. He regularly delivers educational programs on Asset/Liability Management and pricing topics to Federal regulatory agencies, national and state industry trade groups, Federal Home Loan Banks, and Credit Union trade groups nationwide.
Dave currently serves on the faculty of the Graduate School of Banking at the University of Wisconsin–Madison, as well as numerous other industry schools across the United States. He has a Bachelor of Science in Economics from Eastern Illinois University.
MBA Member Price: $265
On-Demand Price: $295
What is a Webinar?
A webinar is an online seminar featuring audio, PowerPoint and other interactive features. The program may be viewed on most devices. No special hardware is needed; however, speakers or headphones are required. The program consists of 105 minutes of instruction and 15 minutes live Q&A. Each Live Webinar registration provides one connection to the webinar, materials and access to the On-Demand Webinar for 30 days. You may have unlimited listeners on your connection.
An On-Demand Webinar is a webinar that has been recorded and can be viewed at your convenience (24/7). Anyone at your branch may access the program online using the login. With an On-Demand Webinar, you have 6 months unlimited access to the program from the date of purchase (access to the live webinar is not included).