Bank Analysis School Case Study

Sunny State Bank

ASSET SIZE & GROWTH

Asset Size - Bank vs. State Median

Asset Growth

$100M

Quarter

20X5 Q4

Bank

$178,733,500 State Median

$80M

$100M $120M $140M $160M $180M

$60M

$40M

$82,223,000

$20M $40M $60M $80M

$20M

20X3 Q4

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20X5 Q1

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20X5 Q4

Asset Growth Rate

2.0%

1.9%

2.0%

1.4%

1.4%

1.3%

0.8%

0.8%

1.0%

0.3%

0.5%

(0.1%)

0.5%

0.0%

(0.5%)

(0.0%)

(0.6%)

(0.5%)

Metrics

(1.0%)

(1.2%)

Bank State All Banks

(1.8%)

(2.0%)

(2.4%)

(3.0%)

(2.9%)

(3.0%)

(3.4%)

(4.0%)

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20X5 Q4

Asset Size Qtr

The risk management practices suggested in regulatory guidance are often based on the size and risk profile of a bank, making it important to be aware of the relative size of a bank. Something to keep in mind is that it can be difficult to achieve asset growth without taking on risk. E.g. loosening loan underwriting standards to grow loan volume, funding asset growth with wholesale sources, etc.

20 X 5 Q4

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