CMS Case Study

Summary of Potential Strategies - 9/30/2021

STRATEGY

EXPECTED RESULTS

RISKS

3. Investments:

 Discuss @ ALCO.

 Discuss @ ALCO.

 Plan for upcoming cashflow given significant purchases last few quarters (Investments $50-70MM over next 12 months).

 Are we comfortable with the level of cash on the balance sheet now?

 Beware “premium risk”, as always!

 Discuss short, laddered treasury and agency bullets to balance risk of portfolio duration and option risk.

4. Review Stress Tests for Deposit Pricing and Migration.

Cloyd Bank & Trust - Page 37