Capital & Safety
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Community Bank Trend Analysis: What the Charts Show
When the Fed raised rates 525 basis points in about 16 months (March 2022 to July 2023), cumulative deposit beta for the median bank …
FDIC Bank Failure Data: What History Tells Us About Risk
Between 2008 and 2012, the FDIC closed 465 banks. At the peak, 2010 alone, 157 institutions failed, carrying about $92 billion in combined assets …
Community Bank Risk Indicators: What to Watch
Community banks are not small versions of large banks. They carry concentrated loan books, thinner capital buffers, and balance sheets that move in lockstep …
CET1 Capital Ratio: What It Means and How to Pull It
If you have sat through a bank regulatory exam, built a capital stress model, or tried to benchmark a community bank's capital position against …
Bank Holding Company Analysis for Community Banks
Most community bank CFOs can quote their Call Report capital ratios from memory. Fewer can say, without checking, whether those ratios match what the …
Bank Failure Prediction: Early Warning Signs in the Data
Silicon Valley Bank's held-to-maturity unrealized losses (roughly $15 billion against a $16 billion equity base) appeared in each of its 2022 Call Reports. The …
Bank Capital Adequacy Analysis: A Regulatory Data Approach
Capital adequacy analysis sounds straightforward on paper: pull the ratios, compare to minimums, flag the outliers. Anyone who has actually sat in an ALCO …
FDIC Deposit Insurance: Limits and Ownership Categories
Silicon Valley Bank held $161.5 billion in domestic deposits as of December 31, 2022. Of that, $151.6 billion, roughly 94%, was estimated to sit …
Core Bank Earnings Before Credit Costs: A Worked Analysis
Pre-provision net revenue is the metric that separates credit-cycle noise from franchise performance. This post is the worked analysis; the glossary entry carries the …
Bank Failures and the FDIC Problem Bank List
Silicon Valley Bank had a tangible common equity ratio that had been declining for six quarters before March 2023. The concentration in long-duration securities …