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Risk Guidance on Commercial Real Estate Concentrations
Date: Tuesday, September
Sponsored by Lorman Education Services
Commercial real estate (CRE) and multifamily concentrations are an area of scrutiny for regulators in the current exam cycle.
Regulators have indicated that they will focus on banks which have had significant growth in CRE or are approaching or already exceeding regulatory thresholds for CRE concentrations. However, having a CRE concentration is not necessarily a bad thing.
In fact, many community banks have successfully managed their CRE portfolios through several economic cycles. This topic will help you ensure that you have an effective risk management framework to demonstrate your ability to manage your CRE concentration risk.
We will discuss how to manage this type of concentration risk, including lessons learned from past cycles and current industry best practices. Topics covered include limit structures, underwriting/policy requirements, MIS and reporting, stress testing and Board oversight.
This topic will enable banks to be proactive with their regulators in showing that they have sufficient capital to support a CRE concentration, and the necessary information and oversight to allow the Board and management to continually assess whether the bank's CRE strategy remains appropriate given current market conditions and portfolio trends.
This Live Webinar Covers These Hot Issues:
Why the Current Concern About CRE Concentrations?
How to Implement Elements of an Effective Risk Management Framework
Stress Testing - Essential to Justifying Concentrations
Credit Information (Sponsored by Lorman Education Services)
For Detailed Credit Information page click here
Elizabeth Williams, CEIS Review
(Not available outside the US)