Funding with a Flat Curve

Funding with a Flat Curve

Recently, we have heard a lot about flattening the curve but what do you do with pricing when dealing with a flat loan yield curve? It’s not as if we haven’t faced this before but it has been some time, so we need to dust off our memories and recall what strategy was used. A […]

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Business Analytics is Part of the Full Lending Performance Cycle 

Business Analytics is Part of the Full Lending Performance Cycle 

Business Analytics is Part of the Full Lending Performance Cycle  On several occasions I’ve spoken about the “Full Lending Performance Cycle” (FLPC). This cycle is comprised of several steps aligned with the origination process and aftermath when evaluating a portfolio. One tool for evaluating the portfolio is business analytics. As CECL adoption comes closer to reality, the lending process becomes even more interconnected. For simplicity purposes, the […]

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Pricing Effectively – The Need to Know

Years ago, I attended a seminar where the presenter made a statement that struck me as odd but has proven to be quite prophetic.  He simply stated, “Margins will continue to narrow … forever!” He was spot on. At that time, a variety of loan products (such as mortgage loans) were becoming ‘commoditized’. This emerging […]

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