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Why is the Investment Process Critical in Any Rate Environment?
Slower global growth expectations and a more dovish tone from the Fed in 2019 have led the fixed-income market to price for rate cuts within the next 12 months. As such, some investors have expressed a need for specific investments or strategies that perform well in a...
read moreWhat Investment Reports are Critical to a Manager’s Success?
For financial institutions, timely and accurate management reporting is key to a successful investment management process. There are four specific reports that are critical to the success of both bank and credit union investment portfolio managers and should be...
read moreWhy Should Depositories Consider Hedging in the Current Market?
Year-end industry analysis has shown that 2018 was a standout year for financial depository performance. Both banks and credit unions recorded the highest ROA and ROE metrics observed post-crisis, and industry net worth finished at one of the strongest levels in...
read moreHow Can Core Lending Principles Help My Depository?
Last year was a profitable one for most financial institutions. Despite increased volatility and global concerns, depository performance reached post-crisis highs as shown in Figure 1. Today, many institutions are looking for ways to maintain and grow profitability....
read moreWhat Risks Should My Depository Be Focused on in 2019?
Financial depositories should avoid complacency in 2019 and keep liquidity, repricing and interest rate risk in mind despite strong performance in 2018. Widening net interest margins (NIMs) and tax cuts for banks led to record profits for financial institutions in...
read moreWhat Steps Should My Institution Take to Prepare for CECL?
Many financial institution planning discussions over the past year have focused on FASB’s decision to move to the CECL standard as a replacement for the current accounting methodology of allowance for loan and lease losses (ALLL) and other than temporary impairment...
read moreHow Can My Institution Prepare the Investment Portfolio for Any Rate Environment?
Financial institutions continue to be challenged by rising rates, thin net interest margins, and tricky pricing decisions. However, a well-thought-out investment philosophy and disciplined investment strategy can assist your bank or credit union in creating a...
read moreWhy Is Now the Time to Consider Hedging Strategies?
Financial institutions are clearly seeing higher rates and a flatter curve in 2018. With the market expecting one more rate hike in December, it is important to look at your depository’s current financial conditions and hedging strategies with today’s rate environment...
read moreHow Do High Performing Institutions Evaluate Loan Pools?
High performing institutions understand the importance of evaluating all asset classes when constructing their balance sheets, including whole loans. Just like a securities investment or loan origination, incorporating the secondary whole loan market into balance...
read moreHow Can Credit Risk Benefit an Investment Portfolio?
Often, institutions are more willing to accept credit risk in their loan portfolio but avoid it in the bond portfolio. Adding credit exposure to an investment portfolio gives investors an opportunity to improve expected returns, as well as diversify risk at the...
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“ALM First” is a brand name for a financial services business conducted by ALM First Group, LLC (“ALM First”) through its wholly owned subsidiaries: ALM First Financial Advisors, LLC (“ALM First Financial Advisors”); ALM First Advisors, LLC (“ALM First Advisors”); and ALM First Analytics, LLC (“ALM First Analytics”). Investment advisory services are offered through ALM First Financial Advisors, an SEC registered investment adviser. Balance sheet advisory services are offered through ALM First Advisors. Financial reporting services, loan introduction services, and other special project services are offered through ALM First Analytics. Neither ALM First nor any of its subsidiaries provide legal, tax, or accounting advice.
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