The Institutional Risk Analyst

The first point to make is that neither of these banks is a particularly good financial performer. WAFD is a bottom quartile performer vs Peer Group One and has reported a lot of noise of late in areas like securities losses. WAFD makes its way in life as a small regional bank by keeping low expenses. When we visited the bank years ago during our time leading bank ratings at KBRA, the CEO talked about his predecessor turning off every other lightbulb in the bank’s Seattle of

If you figure that the seven year portion of the Treasury curve is around 4% today, a nearly 7% yield on EverBank's NDFI loan book seems pretty risky. But in fact the average yield on this loan category was over 10% for all 100 plus banks in Peer Group 1. So while EverBank certainly has a concentration in NDFI lending, it is not the highest yield. JPMorgan (JPM) was 5.9% in Q3, putting the House of Morgan in the 80th percentile of Peer Group 1.

The Citi decision to exit mortgage servicing perhaps made sense in 2017, but today not so much.

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

Inflation is called a “hidden tax,” but lately the tax is not even barely concealed.

The new technology that powers the Sagent-Cooper vision for servicing is already proven in the market