On the latest episode of The Bank Account, I had a conversation with Suzanne Donner and Bill Walton of DHG Financial Services to discuss their new whitepaper on the insights of top performing community bank CEOs. DHG Financial Services conducted a series of interviews with the CEOs of 22 top performing community banks and has compiled their insights into a fantastic white paper. I was honored to receive an advance copy, and was thrilled to have Suzanne and Bill join me to discuss their findings.
The financial performance of the 22 banks selected demonstrates that they’re doing something right. ROAA for the group was 1.82% and ROAE was 18.19%. At the same time, the banks enjoyed a Texas Ratio of less than 10% and an efficiency ratio of just 52.76%.
On the podcast, we discussed each of the three main areas of the white paper: areas in which the top performing community banks are clearly “ahead of the curve;” areas in which the banks are “on the curve;” and areas in which they see emerging risks. DHG’s research suggests that, collectively, these top-performing community banks are ahead of the curve when it comes to their strategic focus, talent caliber and relationships. They are on the curve (and for the most part, comfortably so), in their use of technology for the customer experience, determining success metrics and growth, and strategic planning. Among the emerging risks and opportunities for community banks to shape the future, top performers generally focused on their responses to the emergence of millennials, as well as the advent of big data analytics.
I’m biased, but I think it’s a great conversation and a great white paper. There are obviously a lot of resources out there about the industry, but I think this is close to a “must-read” for community bank executives and directors.
To request a copy of the full white paper, contact DHG Financial Services at [email protected].
To listen to the podcast click here.