Bank Management Report
There will be a research project in which you will need to utilize the online databases / resources to obtain your information. You will need to set up and use Excel to present your information in a report. Details on the project requirements are attached as appendix A. It should be approximately 10 pages (includes any spreadsheets you need to support the written analysis). It should be double spaced in 12 point Times New Roman font.
**I have selected "KeyBank National Association" as the researched bank**
Go to this link to download the UBPR Report...
https://cdr.ffiec.gov/public/SelectReportFormat.aspx?reportType=283&idrssd=280110&ReportPeriod=9%2f30%2f2014&Name=KEYBANK+NATIONAL+ASSOCIATION
Bank Performance Project for Bank Management
I strongly suggest that you visit your bank's web site and read information under Investor Relations tab for information that will help. At the very least read management's comments in the 10K.
1. Give a brief basic introduction to the bank you choose. This should include location, number of branches, employees, who is the primary regulator, the name of the holding company if applicable; type of bank, service area and anything else you think may be of interest. Also make sure to check if any mergers or major acquisitions occurred during the analysis period.
2. Discuss the stock price performance of the holding company of the bank during the past three years. Remember the holding company may have other assets than the bank. But for almost all BHCs the bank is the largest asset.
3. Describe the behavior of your bank's ROA and ROE over the past three years. How does the performance of ROA and ROE relate to that of the peer group over this period based on the results on the Uniform Bank Performance Report, given the relationship ROE=ROA times the equity multiplier (asset/equity) has your ROE been driven more by changes in ROA or by changes in the equity multiplier? What are the main factors that account for the behavior of your ROA over this period?
4. Describe the behavior of your Bank's efficiency ratio over the 3 years? How does it performance relate to the peer group? What factors have affected your efficiency ratio over this time period?
5. Describe the behavior of your bank's net interest margin (NIM) over the past three years? How does it performance relate to the peer group? What factors have affected your NIM over this time period?
6. Describe your bank's approach to liquidity measurement (Look at the management discussion in the 10K and the investor relation's material and present data that indicates whether your bank is more or less liquid than banks in your peer group. What are the primary pros and cons of above-average liquidity? Of below average liquidity?
7. How does your bank measure its interest rate exposure? What do the most recent measures show about the size of this exposure? If your bank wishes to reduce its interest rate exposure, what tactics might it use to produce such a result? Do you believe your bank is positioned for an increase in interest rates? Why or why not?
8. What is your bank's current level of non-performing loans to total loans and has it been increasing or decreasing? How does it performance relate to the peer group? What factors have affected this over this time period? Describe any other credit risk ratios that affected the bank's performance?
9. Describe the behavior of your Bank's capital ratios over the 3 years? How does it performance relate to the peer group? What factors have affected the capital ratio over this time period? Is the bank adequately capitalized (Remember to look at risk based capital information on the UBPR)