At the end of the most aggressive Fed tightening cycle since the early 1980s, interest rate risk management and liquidity risk management are issues on the top of every regulator’s list when they visit your bank for an exam. While your board of directors and asset/liability committee may have discussed the issues, do you have a strategy in place regarding your investment portfolio as rates fall?
As a longtime Preferred Service Provider of the Indiana Bankers Association and a Diamond Associate Member, The Baker Group has been a partner with independent community financial institutions for 45 years. Their knowledge and experience can provide the assistance needed to navigate these challenging times and work with your ALCO and board to determine an effective strategy that will fit your bank’s liquidity needs and A/L position.
The economy is beginning to flash late-cycle warning signs of a potential recession in the near future and an end to the current Fed tightening cycle. With rates still at their highest level since the mid-2000s, utilizing a strategy that puts funds within your investment portfolio to work will help you prepare for the potential of lower rates in the times ahead.
The Baker Group works with more than 35 Indiana institutions to develop, implement, monitor and update a financial strategy that is unique to each client. Every institution has characteristics that make them different from the next. There are never any cookie-cutter, one-size-fits-all answers; but there are always answers. The professionals of The Baker Group realize the investment portfolio must be managed in the context of the bank’s overall growth and business strategies, and they will utilize the company’s knowledge and resources to help your institution achieve its financial goals. Baker will provide assistance in making sure the bank’s portfolio stays on point toward the fulfillment of those goals.
While making sure your bank stays on target regarding your interest rate and liquidity risk, they will also work with your team to prepare for upcoming examinations and assist bank management with any necessary discussions with regulators involving the bank’s current portfolio and its investment strategy. The Baker Group understands and specializes in regulatory compliance for both interest rate risk and investments. It is their job to stay on top of changing regulations so that your financial institution is always prepared and understands the ongoing regulatory environment. Baker can assist in investment strategy development, investment education, Asset/Liability reporting and process review, online strategy and outlook sessions, and Strategic Planning.
The Baker Group’s 45 years of experience has gained them recognition for their leadership, integrity, innovation and results. While being established and proven, they continue to grow and evolve. They recently added the ability to assist in the underwriting of funding options for your bank.
The Baker Group is a strong partner and a sound investment firm with solid ideas for 21st-century community financial institutions. For more information about The Baker Group, contact Rod Lasley at (317) 387-9380 or RLasley@indiana.bank; or contact Tim Beloat or John Parker of The Baker Group at their Indianapolis office at (866) 370-3590.
Rod joined the IBA staff in 2009 after 18 years in banking. He oversees all the Association’s products & services, business practices, member engagement and corporate communications. He also serves as the Association’s CFO and president of two for-profit companies owned by the IBA.
Email Rod at RLasley@indiana.bank
