Bank Business Plans and Expansion Strategies A bank's Business Plan is a roadmap for how a bank will implement its competitive strategy to achieve sound, sustainable, and profitable growth. We assist banks in developing and updating their Business Plans and work with investors in the preparation of De Novo bank applications. We rely on our in-depth knowledge of the banking industry as well as the business and economic environment of the banks’ primary area of operation.
We prepare assessments of bank performance based on the design, implementation and achievement of a bank’s business plan.
We also work with bank management in support of their annual strategic planning process by providing a thorough analysis of Opportunities and Threats in the banks' primary markets.
We assist banks with their branch expansion strategies by studying new locations, deposit/credit products and fee-generating services. We identify desirable locations based on population, income, and business profile of targeted areas. We utilize detailed data on branch expansion based on annual deposit surveys.
Asset / Liability Management Based on our experience with complex financial models and market trends we provide our clients with in-depth perspectives on mitigation of interest rate and market risks. We recommended options for maximizing investment yields within each bank’s risk profile. We also participate in ALCO meetings by providing briefings on current financial market trends for U.S. and global financial markets.
We also perform audits of a bank's interest rate risk management process in accordance with Regulators' directives -- including those issued on Risk Modeling, the Advisory on Interest Rate Risk Management, and the Supervisory Guidance on Model Risk Management, and made recommendations to enhance the measurement of interest rate risk as well as the implementation of the bank's policies in this area. We developed a methodology to assess the consistency of a bank's financial model output.
Loan Portfolio Management We assist banks in the determination of their Allowance for Loan and Lease Losses by providing critical information and analysis of key economic, financial, and business conditions and how they will in the short-run affect the quality of the bank's loan portfolio.
Country Risk Management The Dodd-Frank Act has challenged banks on numerous levels such as capital - definition of capital, capital ratios, and risk-weighted assets; liquidity (Liquidity Coverage Ratio), which impacts all of a bank's on- and off-balance sheet items; and, of course, compliance. Dodd-Frank's principle that banks use their own methodologies in determining the risk of their assets, rather than relying on external sources such as the rating agencies' risk classifications, have added new requirements to banks' country risk management function.
The latest regulations have widened the scope for country risk analysis (see OCC: Comptroller's Handbook - MCM, Country Risk Management February 2016). At the same time, there are separate capital rules associated with the Dodd-Frank Act that require banks to use the OECD country risk ratings in determining the risk weights for cross-border assets.
We work with bank management in aligning its Country Risk Management function with the bank's strategic objectives and regulatory framework - including policies, procedures, risk rating methodologies, models and stress testing, that are in line with the latest regulatory standards.
Regional and Local Economic & Financial Analysis We have years of experience in analyzing the Florida economy and its principal metropolitan areas, particularly Miami-Dade and Broward counties, with emphasis on domestic and international linkages. We continuously monitor employment and retail sales trends by sector and industry. For example, for more than 15 years we have been consultants to Miami International Airport in the analysis of their principal markets that is used in preparing the air travel forecasts by the airport's Traffic Engineer.
International Market Trends Based on our long experience in the analysis of Latin American financial markets and economies we provide our clients such as multinational corporations with strategic market intelligence for both short-term and medium-to-long term business and investment decisions as well as strategic planning.
Economic Impact Studies The impact of business and government activities go beyond the figures reported in the financial statements. Sometimes it is important to gauge the economic benefits and costs in terms of direct and indirect linkages between one line of activity and the affected businesses or communities. Our economic impact studies are used to evaluate the repercussions of economic policy or the consequences of business decisions on a particular region, market or industry. Our methodology includes the use of standard Input/Output models utilized extensively in numerous industries.
We have many years of experience in making management presentations and seminars. We work with your staff to organize presentations to Senior & Executive Management and the Board of Directors and provide critical information on the countries, industries, or products of interest. We also make presentations to prime clients about the latest trends in the global economy.