Midsize banks are extra targeted on rising small enterprise deposits in 2023 than they had been final yr, in line with a survey by Cornerstone Advisors of executives at monetary establishments starting from $250 million to $5 billion in property. Amongst financial institution respondents, 72% cited rising small-business deposits as a excessive precedence for the yr forward, in comparison with 41% final yr. Fifty-one % stated rising retail deposits can be a excessive precedence, in comparison with 21% final yr. On the similar time, fewer respondents listed rising earnings from industrial treasury administration and debit and bank card interchange charges as prime priorities, though all dropped by a solely few share factors.
The present rate of interest atmosphere was a significant concern for many financial institution executives, with 53% itemizing it as certainly one of their prime worries. Different prime issues had been the price of funds (43%), the power to draw certified expertise (42%), regulatory burden (36%) and cybersecurity (additionally 36%). Nonetheless, most respondents had been optimistic about what 2023 holds for the banking trade, with 43% saying they had been pessimistic in regards to the yr forward.