(Purchase for $300 Per Copy)

DESCRIPTION OF STUDY:

BAC has recently completed a major study of diversification strategies for community banks.  This is an essential study for community bank CEO’s seeking to inform themselves of activities and initiatives of how other institutions are dealing with margin compression (see below) through non-interest income diversification.

 

This is a research document of approximately 100 pages designed to provide CEO's of community banks with an overview of non-interest income diversification strategies of community banks and super community banks.  The study covers the following areas and bank sample sizes:

 

Size Cohort by Asset Size	# US Banks	# NE Banks	Areas Evaluated
<$500 Million in Assets	6,800	520	·      Leasing ·      Insurance sales ·      Investment Management and/or Trust ·      Other (Venture Capital / Investment Banking)
$>500 Million <$1 Billion	578	129
$>$1 Billion  <$10 Billion	452	104

Note:  Data is for commercial banks and thrifts; Federal Savings Banks have not been included in this sample

 

The study is assembled from public sources and covers the following topics:

l      Executive Summary of Community Bank performance &  Diversification

l      Performance of US and Northeastern Community Banks by Quartile:     12/31/06

l      Diversification Strategies of Northeastern Community Banks

 

l      LEASING:  Frequency and Bank Participants          

√      Entry Issues for Banks Considering Leasing

√      Industry Overview          

√      Strategic  Reasons for Banks to Provide Leasing      

√      Why Customers Are Attracted to Leasing    

√      Bank Choices in Leasing 

√      General Types of Leases   

√      Accounting for Leases     

√      Conceptual Pricing of Leases        

√      Risks in Leasing

√      Implementation Alternatives In Leasing       (Building vs Acquisition vs Joint Venture)

√      Pro-Forma Financial Projections of De Novo Bank Leasing Department           

 

l      INSURANCE:  Frequency and Bank Participants     

√      Entry Issues for Banks Considering Insurance          

√      Industry Overview          

√      Strategic  Reasons for Banks to Provide Insurance    

√      Why Customers Are Attracted to Insurance  

√      Bank Choices in Insurance

√      General Types of Insurance           

√      Accounting for Insurance Activities

√      Conceptual Pricing of Insurance    

√      Risks in Insurance          

√      Implementation Alternatives In Insurance  (Building vs Acquisition vs Joint Venture)    

√      Pro-Forma Financial Projections of De Novo Bank Insurance Department         

 

l      Investment Management / Trust:   Frequency and Bank Participants         

√      Entry Issues for Banks Considering Investment Management / Trust    

√      Industry Overview          

√      Strategic  Reasons for Banks to Provide Investment Management / Trust          

√      Why Customers Are Attracted to Investment Management / Trust       

√      Bank Choices in Investment Management / Trust     

√      General Types of Investment Management / Trust     

√      Accounting for Investment Management / Trust Activities     

√      Conceptual Pricing of Investment Management / Trust          

√      Risks in Investment Management / Trust    

√      Implementation Alternatives In Investment Management / Trust             (Building vs Acquisition vs Joint Venture)

√      Pro-Forma Financial Projections of De Novo Bank Investment Management / Trust Department   

 

l      Other Diversification Strategies (Mtg. Servicing, Venture Capital, Investment

Banking)