The Institutional Risk Analyst

As we note in a recent article published by The Daily Reckoning, “The Bezzel: Is it 1925 All Over Again?,” that tales of woe regarding the Fed-fueled credit boom in commercial real estate and private credit will continue to grow in number in 2026.  When it comes to fraud, cockroaches are an inconvenience, but wharf rats carry the plague and are an existential threat.

The big story nobody is discussing is the fact that large banks led by JPM, BAC and TFC continue to sell off briskly

The larger banks led the way in January and February, but today the top 25 names in terms of total return include many smaller banks.

Q: What do Silicon Valley Bank, First Republic Bank, Signature Bank and New York Community Bank have in common? Auditor, KPMG.

The Q2 2023 disclosure for PACW suggests an institution that is bleeding cash and operating in extremis...

With industry losses on every loan closed well north of 200 bp, you might ask yourself why WAL would still be buying conventional loans.

The Fed's 5.5% increase in short-term interest rates has thrown the pricing for trillions of dollars in real estate into disarray.

The price volatility injected into markets by the Fed is a primary reason why the FDIC cannot easily find buyers for smaller banks.

Imagine how President Joe Biden will react if Chair Powell needs to announce formal limits on access to US bank deposits.

Both PFSI and COOP are navigating the current market well, but we have questions about where the former is headed.

The funding crisis affecting US banks is not over and very definitely not limited to smaller banks.

Mark Twain called Washington ''the grand old benevolent National Asylum for the Helpless'' in his classic "The Gilded Age."

The reduction in the Fed's balance sheet is the largest ever margin call on equity exposures of all descriptions.

There are virtually no conventional lenders in the US today that are profitable when the sell a loan into the secondary market.

WAL is one the best performing small banks in the US based upon equity market valuations, profits and growth rates

We speak with a revolutionary in the world of lending, Tom Showalter, Founder and CEO of Candor Technology.

Many of the better managed financials that we track have become sellers of assets rather than buyers in the past several months.

If we told you that a group of banks and REITs outperformed fintech stocks during the first nine months of 2021, what would you say?

If you back reserve releases out of Q1 2021 bank results, revenues and earnings were down and trend is headed lower due to QE

Simply stated, US banks are twice as expensive as they were a year ago looking at earnings and assets....