Financial Institution Letters
August 30, 2017
Supervisory Insights Journal
Summer 2017 Issue Now Available
The Summer 2017 issue of Supervisory Insights features two articles of interest to examiners, bankers, and supervisors. The first article emphasizes the importance of liquidity risk management and describes contingency funding strategies to help community banks mitigate potential stress. The second article provides an overview of the Bank Secrecy Act/Anti-Money Laundering (BSA/AML) examination and discusses trends in supervision and enforcement. Supervisory Insights – Summer 2017 is available at www.fdic.gov/supervisoryinsights.
Statement of Applicability to Institutions with Total Assets under $1 Billion: The information contained in this issue of Supervisory Insights may be of general interest to FDIC-supervised financial institutions, but it is not supervisory guidance.
- Maintaining and planning for a healthy liquidity position is essential to a community bank's safe and sound operation. An unexpected liquidity crisis can impair an institution's viability. "Community Bank Liquidity Risk: Trends and Observations from Recent Examinations" describes liquidity risk management and contingency funding strategies that community banks can use to help mitigate potential stress.
- The focus of the BSA/AML examination is to assess whether a depository institution has established appropriate policies, procedures, and processes consistent with the institution's BSA/AML risk. "The Bank Secrecy Act: A Supervisory Update" provides an overview of the BSA/AML examination, discusses trends in supervision and enforcement, and includes examples of rare, but significant, failures identified by FDIC examiners in BSA/AML compliance programs.
- The "Regulatory and Supervisory Roundup" provides an overview of recently released regulations and supervisory guidance.
- Suggestions for article topics and requests for permission to reprint articles should be emailed to firstname.lastname@example.org. Requests for print copies should be emailed to email@example.com.
- FDIC-supervised Institutions
- Chief Executive Officer
- Compliance Officer
- Liquidity Risk Management
- Contingency Funding Strategies
- Bank Secrecy Act
- Kim E. Lowry, Managing Editor
- (firstname.lastname@example.org or 202-898-6635)
FDIC Financial Institution Letters (FILs) are available on the FDIC's website at www.fdic.gov/news/news/financial/2017/index.html.
To receive FILs electronically, visit http://www.fdic.gov/about/subscriptions/fil.html.
Paper copies may be obtained through the FDIC's Public Information Center, 3501 Fairfax Drive, E-1002, Arlington, VA 22226 (1-877-275-3342 or 703-562-2200).