Bank Risks

Understanding the vulnerabilities of our banks today is more critical now than ever. The early warning signs for Silicon Valley Bank were known two years ago. Our bank risk models picked up First Republic Bank issues over a year ago. With the easing of regional to small bank requirements of Dodd-Frank, many of the smaller banks no longer have the reporting regulations that allow for better tracking of risk. Banks are a critical part of your ecosystem, and a bank default will impact you in a number of ways from daily operations with properties, to funding for new construction and development projects to tenants who have a disruption with their banks.

Megalytics has been enhancing its bank scoring models for the past seven years and we have evaluated many banks as part of our Premium Megalytics Viability Assessment program. We have several new Bank Risk assessments you can now choose from:

Comprehensive Bank stress test based on new bank risk scoring
Standard Premium MVA bank Assessment
Megalytics Enhanced Bank Risk Scoring Model and Risk Analysis without the stress Test
Peer Analysis and commentary using CAMEL ratios, which ranks banks against its peer group for key ratios and with expert commentary

We have been improving our bank scoring model and our latest assessments include the total CRE Loan Exposure, the Unrealized losses on marketable securities, the deposit withdrawal rates and off-balance sheet funding commitments.

NEW BANK MONITORING PLATFORM:

Since banks are also continuously reporting every quarter with financial updates, we are launching a bank monitoring platform so you can pick any number of banks you want to monitor and get quarterly updates. The monitoring would give real time notifications, maybe before the news, of any change in credit, derogatory or other:

Key ratios might be a sudden drop in deposits or very high CRE loan exposure against equity or a jump in NPA. You can’t get this from reading the news and if you wait until the news comes out it will be too late.
We pick up any immediate derogatory legal fillings or judgements or a sudden change in management, a red flag if officers are leaving the bank or there is a sudden change in credit.

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Let Megalytics guide you through the best data sets and analysis to assist you in your development project, acquisition, disposition or finding a new tenant.

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We have the most comprehensive, automated due diligence underwriting process, accessible thru a cloud-based SaaS platform. We are constantly updating and vetting our data vendors, and we have hundreds of public and proprietary, big and small, traditional and alternative data sources.