2024 Journal of Community Bank Case Studies

FIRST PLACE: Commonwealth University of Pennsylvania THIRD PLACE: Southeastern Louisiana University

Figure 4: Return on Assets (Net Income/Total Assets)

B1Bank

Silicon Valley Bank

First Republic Bank

Signature Bank

0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% 1.40% 1.60% 1.80%

2018

2019

2020

2021

2022

Capital Levels

B1Bank Silicon Valley Bank Figure 5: Interest Income/Total Assets

First Republic Bank

Signature Bank

While b1Bank and its comparison group all meet the Basel III for well-capitalized banks (common equity tier 1 capital ratio of 6.5%, tier 1 capital ratio of 8%, total capital ratio of 10%, and a leverage ratio of at least 5%), b1Bank maintained the highest leverage capital ratio (tier 1 capital / the total on-balance sheet exposures) among the four banks. This ratio demonstrates its non-risk-weighted measure of capital was better equipped to absorb losses during the financial shocks. Additionally, in 2020, b1Bank’s management opted to use the Community Bank Leverage Ratio framework to assess the strength of its capital base. Mr. Robertson explained that management chose the

6.00 %

5.00 %

4.00 %

3.00 %

2.00%

1.00 %

.00 %

2018

2019

2020

2021

2022

Figure 6: Non-Interest Income/Total Assets

B1Bank

Silicon Valley Bank

First Republic Bank

Signature Bank

1.20 %

1.00 %

.80 %

.60 %

.40 %

.20 %

.00 %

2018

2019

2020

2021

2022

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