IBAT's Bottom Line August 3, 2009
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IBAT DC Trip
Your Executive Committee and legislative staff just returned from a whirlwind meeting to Washington, DC. In roughly a day and a half we visited with over 20 different offices of the Texas delegation, along with senior staff from the FDIC, OCC and CSBS. The group was briefed by the ICBA prior to our visits to get a “real time” lay of the land and ensure a consistent, community bank centric message.
It is crystal clear that members of our delegation “get it”. Community banks did not cause nor profit from the poor practices that have led to our current state of affairs, and should not be punished – or “caught in the net” as one Congressman put it – for the bad behavior of the large bank and non-bank sector.
Chris Williston’s most recent blog captures the essence of our trip, as well as the current state of affairs in the political arena. You may access this very quick read here - http://themissinglinc.com/
You should also check out a recent Washington Post article http://www.ibat.org/news/2009/07/29/ibat-washington, which clearly articulates the stature of community banking vis-à-vis the other sectors of the financial services industry. Williston is among those quoted, and it is indeed an interesting read.
We Need You in August!
The differences between community banks and our larger brethren have never been clearer. It is incumbent upon all of us to tell “the community banking story”.
There remain a number of looming challenges as Congress takes a break until after Labor Day, with plans to take up the regulatory restructuring debate shortly after their return. While a concerted effort by virtually all of the state and national bankers associations – and more importantly, huge numbers of community bankers – across the nation has slowed the process, there still remains much work to do.
ICBA has developed some outstanding tools to make this process as easy as possible. You may access these materials here http://www.icba.org/advocacy/index.cfm?ItemNumber=59058&sn.ItemNumber=60788
We strongly urge you to invite your member of Congress and district staff to your bank, or at a minimum attempt to meet with them while they’re in the district during the August recess. Please contact us if you need any assistance in making this happen.
And don't forget, IBAT helps you stay up to date on these current industry issues through our special subscription program with American Banker. Click here to learn more.
Legal Ease Question of the Week
Question: Our bank issued a cashier's check to a customer. The customer mailed the check to a bank for deposit, but it apparently got lost in the mail. What is the law on a lost cashier's check?
To find out the answer, click here.
On the Education Front
Asset Liability Summit
September 9-10, 2009
San Antonio, TX
Asset / Liability Management – Jeff Caughron
This session will focus on the “systems approach” to Asset/Liability Management and Liquidity Management. We will drill down and explore the financial nuts and bolts of a bank and examine how the dynamics of a balance sheet interact with the movements in interest rates to produce financial performance. Bankers who are new to the topic will benefit from a discussion of the history of A/L management and a simple progression from basics to advanced interest rate risk issues. Experienced CEOs and CFOs will learn new ways of looking at their balance sheet and ideas on how to use the investment portfolio as a tool for managing the bank’s liquidity and interest rate risk. Investment officers and portfolio managers will be introduced to simple but effective rules for efficient management of the bond portfolio. Regulatory issues and hot topics such as liquidity management and backtesting of A/L reporting will also be covered as well as things which are anticipated to be on the minds of examiners in 2007. Items to be discussed include:
- Interest Rate Trends and the Economic Outlook
- The Banking Environment in 2009
- Asset / Liability Reporting (including sample reports)
- Liquidity Management Basics
- The Integration of Investment Management with A/L Management
- Specific Case Studies of A/L and Investment Strategies: Before and After Analysis
Investment Portfolio Strategies: A Liquidity Management Approach – Ryan Hayhurst
The theme of this session will be how to optimize returns on the investment portfolio while using it as a tool for managing liquidity, cash flows, and interest rate risk. Attendees will gain insight into the current market environment and the remarkable changes that the banking industry continues to experience. We will examine the unique challenges of the current environment and discuss necessary new considerations in security selection. Investment management processes will be discussed in the context of complementing the bank’s overall balance sheet. Specific topics include:
- Market Conditions and the Banking Landscape
- Strategic Investment Issues: Keys to Success
- Bond Market Sector Analysis: What’s Rich / What’s Cheap
- The Prepay Environment for MBS: New Considerations
- Agency Alternatives: Risk and Reward
- Municipal Credit Analysis: More Important Than Ever
Consumer Tips August 2009
Solutions from Services
| Don’t feel “stuck” with your new-applicant screening solution. IBAT Endorsed Provider, Deluxe Detect® puts the control back in your hands. Free implementation for IBAT members for a limited time!! In the current economic crisis, fraud remains a threat to profitability. Now more than ever, it pays to trust every account opening to Deluxe Detect. IBAT is pleased to endorse this powerful solution for screening new applicants, and for a limited time, Deluxe will waive the implementation fee for IBAT members. Sign a participation agreement between August 1 and October 31, 2009, to receive this special offer. To learn more, contact Gina Carter at 817-714-6772 or e-mail at gina.carter@deluxe.com. Click HERE for more information. |
Featured PAC Auction Items
 | Cowboys vs. Redskins Tickets Two Dallas Cowboy tickets for Sunday, Nov 22, 2009 with the Washington Redskins, plus $100 cash for refreshments. |
 | G. Harvey "Winter's Eve" Donated by: John Jay, Roscoe State Bank G. Harvey "Winter's Eve" framed print. |
| See more items at PAC Auction blog on our website. Click here to "hear" more. This year’s Silent and Live Auctions will take place on Monday, October 12, during the 35th Annual IBAT convention at the Westin La Cantera Resort in San Antonio. Click here to download the Auction Pledge Form. |
American Banker Magazine & IBAT
American Banker Now Online At www.ibat.orgIBAT and American Banker have announced the launch of their members-only exclusive subscription program. The American Banker is the leading daily national publication committed specifically to the banking industry. Every IBAT member organization now receives a limited number of free subscriptions to American Banker Online thru the website, www.ibat.org.
In addition, every employee in IBAT member organizations can order their own subscription at exclusive IBAT only subscription rates, just $99 a year. This is a substantial savings off of the regular $995 annual subscription rate available only to IBAT members thru this special membership offer. You can sign up for this $99 Special Subscription Rate by logging in to your myIBAT account and clicking on the $99 Special link at the bottom of your myIBAT homepage in the American Banker news section.
In addition, for those that prefer to read their American Banker the old-fashioned way there is a substantially reduced $295 special rate for their daily PDF / print edition. This is a printable PDF copy of the daily American Banker magazine delivered every weekday morning before 5am directly to your email inbox. This daily delivered edition can be ordered now by calling American Banker at 1-800-221-1809 and telling them you are a member of The Independent Bankers Association of Texas and would like the $295 discounted PDf subscription.
On the IBAT website in the American Banker section of your myIBAT page there is a RSS news section with the most current news stories pulled directly from American Banker Texas page. As a free or paid subscriber all you have to do is click on one of the story headlines and it takes you right to the American Banker website without logging in again. You must log into the IBAT website first, but once you do that, and go thru the links on the myIBAT page, then you have full American Banker member access to all of their website features.
We hope you are as excited as we are with this membership enhancement. If you have any questions please contact either Jennifer Kinzler or Kerry Hall with your questions at 1-800-749-4228.
The IBAT Steak Out
So, you’re sitting with your significant other and you say, “Hey, why don’t we have a few folks over and cook steaks?” And your significant other says, “Like who?” And you say, “Well, maybe members from the board, staff, a few customers and friends…about 100 guests.” And your significant gives you a look that makes you feel you may have eaten your last meal and says, “Just who is going to prepare this small intimate dinner?” And being the hero, you say, “IBAT PAC!”That could happen if your name is selected in the IBAT PAC Steak Out drawing at the IBAT 35th Annual Convention in October! But how, you ask? Read on…
Be one of the first to purchase one of 100 tickets at $250 each and the IBAT staff will travel to your hometown and prepare steaks with all the fixins’ for you and your guests. But wait…there’s more!
After the meal, the IBAT Staff will also clean up everything while you sit back and enjoy the evening with your guests (did we mention the peach cobbler and Blue Bell ice cream?).
Now where else could you host a dinner party for 100 of your closest friends for a mere $250? What a deal! And the best news…all of the proceeds go to the IBAT PAC (and that’s why we can accept only personal checks and credit cards…no corporate dollars, please).
Click here to purchase your tickets(s) and be the HERO! Click here to learn more. Stay tuned for the complete cartoon story!
IBAT Financial Services
As a public service, IBAT FS shares this information, as provided by the National Flood Insurance Program and FEMA. Not only is it important to review the need for flood insurance for your bank locations, it's also important to consider flood coverage for your homes. This fact sheet provides several very important considerations to protect yourself as well as your assets.
AustinMoneyShow.com
The Austin Money $how is one of IBAT's new initiatives to tell the positive, proactive story of community bankers.On September 25-26, the IBAT Education Foundation is hosting a new kind of fundraiser to support its mission. The Austin Money $how is a pilot program for consumers in Central Texas who are active, educated, homeowners, have one or more children and interested in better ways to manage their finances. This audience is asking many more questions since the economy turned upside down. This audience wants to know more about their investments in 401(k) plans, IRA's, how to better work with their local banker to maximize their money. IBAT is taking the story to the consumer with 33 workshops and 80 booths. Click here to learn more: www.austinmoneyshow.com.
If you have any interest in using this new platform to reach this target audience (as an exibitor, sponsor, education session leader, or attendee) a quick email to Mary Lange or Julie Courtney. mlange@ibat.org or jcourtney@ibat.org.
Meet the IBAT Staff
As IBAT celebrates our 35th Anniversary this year, we wanted to introduce you to our staff.
Many of the staff you know already and some that you may not be as
familiar with. IBAT really is a family. We laugh together…we cry
together…we get on each other’s nerves. But at the end of the day, we
can always count on each other.The IBAT family has 226 years of combined experience with the association. We recently asked the staff to complete a fun questionnaire to give you a chance to get to know them better. From now until the Annual IBAT Convention, we’ll be featuring them on the IBAT website. Enjoy and welcome to our home.
Can you identify this staff member?
TechMecca Seeks Your Input
Plans are currently underway for TechMecca 2010 and IBAT is looking for eager participants to make their voices heard by providing valuable experience and expectation information. A quick survey has been composed to let IBAT know how to best meet participants’ technology and related marketing needs for this conference. The results will be compiled and used to evaluate what types of educational sessions you would most like to see.
The survey takes only a few minutes, and may be found here. Questions pertaining to speakers and possible sessions you would like to see are asked with the chance to provide your own ideas for submission.
Do you have a “Rock Star” on your staff when it comes to areas related to dealing with the how to’s or challenges of technology? Do they like to speak and are they willing to provide information while learning from others? If so, this is precisely the type of response we need to hear.
TechMecca 2010 will take place Jan. 25-26, 2010, at the Renaissance Austin Hotel at the Arboretum. Information and registration options will be added to the IBAT website and the TechMecca website as the conference draws closer. Please do not hesitate to email Julie Courtney if you have any questions or concerns.
Baker Market Update
Following last week’s Fed comments and positive corporate earnings, stocks continued their rally with the Dow up 1.05% from last week’s close.The record $115 billion in Treasury auctions for the 2Yr, 5Yr, and 7Yr T-Notes went reasonably well in the end, though dealers drove a hard bargain to raise yields and lower prices in front of the sales. Read more in the Baker Market Update.
Although this information has been obtained from sources, which we believe to be reliable, we do not guarantee its accuracy. This is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security.
Coming Soon
For a complete listing of upcoming events, CLICK HERE. Meanwhile, please mark your calendar for some of our key upcoming events.
IBAT Lending Compliance Summit
August 21 - Dallas
Asset Liability Management Summit
September 9-10 - San Antonio
Austin Money Show
September 25-26 - Austin
IBAT 35th Annual Convention
October 10-13 - Westin La Cantera Resort, San Antonio
Bank Operations Institute
October 18-23 - SW Graduate School of Banking, Dallas
TechMecca 2010
January 25-26 2010 - Austin