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RDK: Posted on Friday, February 17, 2012 12:53 AM
There are eight distinct lending strategies and least five intentional funding strategies a banker can pursue in building a balance sheet. Think that strategy doesn't matter? Check out the interactive graph using the interactive graph on the Bank Intelligence website. It's a thought-provoking tool. |
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RDK: Posted on Wednesday, July 20, 2011 10:04 PM
Early this year I began a search for metro Atlanta community banks with good market demographics, a strong deposit base and non-performing assets (NPA’s) that have been written down to a level such that the bank’s remaining capital plus ½ of the loan loss allowance would serve as sufficient cushion against any "burn" on newly invested capital. My investment premise has been that new capital can be injected into qualified targets at a fraction of book value, and that cost efficiencies in combination with a focused business plan could yield compelling returns for a targeted set of community banks over the coming 3-5 years (investment premise available in a separate document). |
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R D Koncerak: Posted on Thursday, February 24, 2011 12:24 AM
One of my all-time favorite cartoon comic strips is Frank & Ernest. The strip features two bums spouting earthy one-liners of wit and wisdom. A particular favorite that I recall from way back during the Carter administration featured Ernest in a supermarket check-out line, purchasing a package of ground round. The caption reads: "Isn't $1,645,469.83 a little steep for a pound of hamburger?!?!"(I searched Google to try and post the cartoon, but alas...). Here's the point: during the late 1970's, people began to believe that 13% inflation was going to be with us forever, and society began to think and extrapolate accordingly. |
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RDK: Posted on Sunday, December 26, 2010 10:20 PM
Banks that opened in or after 2007 were late for one opportunity and early for the next one. To the extent their management teams avoided A&D real estate and unbridled loan participations, they will have the opportunity to look forward to a new model. The home page of our website suggests several "paths" to pursue toward the new banking model. Here are others that we suggest you tread carefully: - C&I lending
- Fixed rate loan structures (unless you employ hedging and swaps)
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