For more information on the CARES Act and the Paycheck Protection Program, visit our resource page.
Bankers Ask Regulators For Help – Part 1: https://www.pcbb.com/bid/2020-04-01-Bankers-Ask-Regulators-For-Help---Part-1
Bankers Ask Regulators For Help – Part 1: https://www.pcbb.com/bid/2020-04-02-Bankers-Ask-Regulators-For-Help---Part-2
Brief summary of the Barclays coronavirus client call on Friday:
- Significant reduction in global growth prospects for H1 expected, with impact greatest in particularly vulnerable regions (China, Japan, South Korea, Europe)
- Most impacted parts of the economy include the travel sector, commodities (particularly oil) and SMEs
- Ongoing uncertainty about outlook beyond H1, driven largely by uncertain public health forecast and effectiveness of virus containment and economic measures
- Coordination of monetary and fiscal policy to respond to the crisis is not only encouraged, but also expected (i.e. “baked into” market expectations) – as a result, expect little impact when it does occur but significant adverse impact when it doesn’t (see market response to ECB not reducing rates last week)
- Banking system is more resilient to respond to a credit crunch due to reforms on bank capital and liquidity requirements put in place in response to the Global Financial Crisis
- As a result, risk of systemic failure emanating from the financial system have reduced (but not disappeared)
- Trading floors globally have not been stress tested to a scenario where everyone has to work from home to date; however, in Asia there have been contingency measures in place for the past 4-6 weeks requiring staff to work from multiple locations, with little to no impact on functioning of global capital markets
- Turbulent forecast even prior to coronavirus, due to unstable US/China trade outlook and Brexit
- In moments of market uncertainty, there is typically a shift towards “save haven” assets (e.g. USD, JPY, gold). However, what we have seen over the past 1-2 weeks is a flight to liquidity (even gold price declined) as institutional investors engage in broad liquidation of their positions in an attempt to manage risk
- In FX markets:
- Volatility is back both among G10 and especially emerging markets currencies
- Emerging markets liquidity has deteriorated over the past 1-2 weeks, trades executed at wider spreads
- G10 liquidity has been more stable with lower impact on spreads (impact particularly felt on forwards)
- Last week capped the most turbulent stretch since 2008
- Barclays do not currently see any extraordinary requests about additional working capital – utilisation levels in line with expectations
- Feedback from corporate clients as follows: (i) lower stock and inventory levels, (ii) lower orders and production levels, (iii) cutbacks in production days, (iv) difficulty in finding additional suppliers to reduce their concentration risk
- Sporadic but patchy reports that Chinese production is starting to come back to normal; however, these improvements likely to be offset by disturbances to both demand and supply in Western economies that are undergoing lockdowns
- As this becomes a demand problem, quality of debtors becomes important – likely to result in working capital issues
Presenter: Rob Newberry
As we get closer to implementation of CECL, we want as much information as we can get to help in understanding everything that should be considered in putting together our CECL models.
CECL is best thought of as part of a holistic view that focuses on Enterprise Risk Management and not just credit risk alone. It is no longer advisable to operate in silos as you might have done in the past when credit loss reserves were calculated by the Credit Officer for the institution, while Asset/Liability forecasts were in the domain of the CFO. With the need to look at a more forecasted approach to determine credit reserves, it makes sense to leverage some of the assumptions that have been used in the past for developing loan assumptions in your A/L models.
Join this free webinar to learn:
- How CECL will impact ALM
- Effective capital planning and loan pricing processes
- What the changing regulatory landscape is like
I was wondering if anyone had a Capital planning policy they would be willing to share. Thank you in advance.
The results are in from this year’s 2017 Credit Union Contact Center Benchmarking Survey conducted by Strategic Contact. Register to learn how your institution stacks up and what key trends will impact your strategy for the year ahead. Registrants will also receive a link to download the results of the survey following the webinar.
Join Lori Bocklund, President of Strategic Contact, and Al Rosenbaum, EVP of Customer Success at SilverCloud Inc., as they discuss the impact of and insights behind this year’s results. Gain a better understanding of the current industry landscape, while learning how to improve your member service and respond to growing competition. In this webinar, we’ll focus on:
- The tensions, drivers, and disconnects behind a strategy focused on member experience
- The challenges of relying on training, coaching, and development to address issues of high call volume and attrition
- Call center staffing issues, metrics, and technology usage trends and gaps
- Current approaches to reducing workload and improving agent performance
- & much more
What the sunsetting of Google’s Site Search means and what other banking site searches are missing. Register here today.
If you haven’t heard already, Google is sunsetting its Google Site Search product with a complete shut down expected next year. Thousands of banks and credit unions rely on Google Site Search or other search engines for their external website search engine.
But have you stopped and thought whether or not a website search is even relevant in today’s banking environment?
Come learn what Google and Amazon know about site search that banking site searches do not. Learn how content, placement, and the type of questions on banking consumers’ minds play a role in driving people to use and value your bank or credit union’s site.
In this webinar, you’ll learn:
- Data and insights behind what customers and members are really searching for on your website.
- What Google and Amazon are doing in their native environments to enable people to find what they’re looking for. Hint: It isn’t just technology.
- How to gain a clearer picture of how visitors are using your site and how to convert greater numbers of them into leads.
Date: Thursday, October 12th
Time: 2:00pm - 2:45pm EDT
Speaker: Al Rosenbaum, EVP Customer Success at SilverCloud Inc.
If you want to have an intended result, you have to keep score.
It's a great line my Dad would repeat to me as I practiced foul shot after foul shot, keeping track of my misses/makes. But it makes sense even today. And especially in the banking industry.
If you want to make a change - increase revenue, improve the customer/member experience, improve employee morale, etc. - you have to begin to keep score, taking account of where you are now in order to track progress into the future.
At SilverCloud, we created the Workplace Productivity Calculator to help you do just that. If your goal is to heighten employee productivity and increase your bottom line, complete our Workplace Productivity Calculator to find out how many hours you could be saving per week and per year.
Questions/comments? My inbox is always open!
Does anyone have an example of a capital stress test to share? If not, maybe a resource?
Does anyone have a Capital Plan including the new Basel 3 requirements they will share?
CBANC here - spreading the news that we are offering a FREE webinar today on Proactive Risk Management for Community Banks. A bit more information:
This webinar will focus on three key risk management processes within a community bank's reach: stress testing, capital planning and management, and concentration management. Attendees will learn specifics about these techniques and how to apply them. Peter Cherpack and Lou Dunham (Ardmore Banking Advisors) will also discuss problems banks face when carrying out these processes, and pitfalls of failing to use them.
You can head over to www.CBANCEducation.com and register at no cost. Can't attend live? You'll receive the replay within three business days!