News & Insights

In the aftermath of the industry turmoil that erupted in March, much has been made about how social media heightens the risk of - and accelerates - bank failures. Some have even called it "Twitter's first bank run."

The dust has largely cleared from the collapses of SVB, Signature, and First Republic, but the policy implications still loom large. Stricter requirements for capital levels, stress testing, and resolution planning are in the works, and the FDIC has suggested some changes to the deposit insurance system. On the plus side for bankers, regulators could be softening their stance on M&A.

Regional banks have come under major stress in recent months, and while the situation appears to have stabilized, they face challenges ahead. That includes grappling with rising interest rates, attracting and keeping deposits amid tough competition from money market mutual funds, and a potential recession.

Bankers aren’t exactly thrilled with the current proposal to reform the Community Reinvestment Act. Gene Ludwig, who led the last successful effort to reform the CRA as comptroller of the currency under President Clinton, explains why the current proposal should be reproposed - and dramatically simplified. He also talks bank-fintech partnerships, crypto, how to prepare for the coming recession, and more.

As the Federal Reserve aggressively hikes interest rates to tamp down inflation, depositors are starting to demand more for their money. Results from IntraFi’s most recent quarterly survey of bank executives indicate the trend is likely to continue.

It didn’t merit many headlines in the mainstream press, but the passage of the Emergency Capital Investment Program in December 2020 as part of a COVID stimulus package may end up having a profound impact on the community development financial institutions it was designed to help.

Community banks are no strangers to challenges, but what they are facing in 2022 may be enough to give even the longest-tenured banker pause: an uncertain economy, growing competitive threats from fintechs and big banks, and record inflation not seen in decades.

A bitcoin rewards checking account. A wearable ring that acts as a payments device. An early outpost in the metaverse. These are just a few of the unique approaches that a New York City-based community development financial institution, or CDFI, is trying as it proves that you don’t need to be a large bank or fintech to push the digital envelope.

With banks still flooded with cash in the wake of the pandemic, many are waiting to raise deposit rates, content to watch some of their excess liquidity run off the balance sheet. But in a rising rate environment, some analysts are raising questions about whether banks risk waiting too long.

When it comes to the creation of a U.S. central bank digital currency, many bankers take comfort in the conventional wisdom that any such move - if it happens at all - will take years to come to fruition.

The end of the great deposit flood may soon be nigh. Since the start of the pandemic, banks have been saturated with liquidity due to a flight to safety and government stimulus.

Two-thirds of bankers don't think the economy will fully recover until at least 2022, according to our recent survey of bank executives. In the meantime, many are trying to figure out how to position their institutions for the future.