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Balance Sheet Strategies with 2020 Hindsight

On Demand Webinar (January 21, 2021)

Frank Farone

Managing Director

Darling Consulting Group

Frank consults nationwide with CEOs and CFOs of financial institutions to increase earnings through the proactive management of capital, liquidity/funding risk, and interest rate risk. He is a frequent speaker and author on topics such as industry issues and trends, funding solutions, regulatory issues, interest rate risk management, capital management, and derivatives hedging techniques.


Frank was designated a “top-rated” speaker by FMS and is well known for his popular seminar “Turbo Charging Your ALCO Process” having helped thousands of bankers across the country.

Attendees are eligible to receive 1.0 CPE credit.


DCG Managing Director Frank Farone returns for an update to last January’s session, “Balance Sheet Strategies for the New Decade of Banking – Prepare Now for the Inevitable Turn.”


As predicted a year ago, bankers did face one of the most challenging periods in banking history; however, my forecast did not factor in COVID-19 and the compounding challenges it added to the industry. As we enter 2021 with 2020 hindsight, many of the concerns I discussed a year ago remain and, for most, to a greater degree. Interest margins and net interest income continue lower across the industry with no end in sight! The Fed appears to be on hold for a protracted period while liquidity levels have increased materially and are likely to remain so for the foreseeable future. Additionally, credit-related uncertainties/concerns are notably elevated as evidenced by a spike in CECL/ALLL provisions.


Regardless of your outlook for rates, it is imperative we put our biases aside and prepare with a game plan now! Filling the hole in earnings for 2021 and beyond requires a clear understanding of your institution’s risk profile and developing strategies now to weather the current and potential perfect storm ahead.


To help position your institution for success this year and beyond, this webinar will address the following:


  • Cash burning a hole in your pocket? How much is too much? What to do now?

  • Deposit surge lessons from 2020 and past cycles, forecasts 2021 using DCG analytics results

  • The funding dilemma: Strategies to consider regardless of liquidity position, retail, wholesale, pre-funding, go long or short?

  • Loan growth challenges: Pricing and lending negotiation strategies in a commoditized market – hold versus sell? How to quantify to others that fixed-rate lending reduces risk!

  • Derivatives revisited for any size institution: 2020 examples/case studies revealed

  • Filling the “hole” in earnings in 2021and beyond; strategic planning and steps to consider now

  • The dreaded ALCO meeting: How to get more out of ALCO and key considerations for 2021

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