New Jersey Bankers Association
June 6, 2018

NJBankers and Edward J. Bloustein School of Planning & Public Policy, Rutgers University, Release Results of Eighth Annual Economic Survey

Highlights of the survey include:

• Results indicate a soaring confidence in the US economy. Nearly 85 percent of respondents indicated the national economy’s health as “good,” and a record 10 percent rated it as “excellent.” For the first time in the survey’s history, no one rated it as “poor.”

• While somewhat more muted than sentiments toward the national economy, confidence in the NJ economy is nonetheless surging. 42 percent of respondents rated New Jersey’s economic health as “good” in 2018, compared to 15 percent in 2016. Still, 2018 marks the eighth consecutive year in which no respondent has rated New Jersey’s economy as “excellent.”

• The 2018 survey continues to show improvement in the business loan market, adding to a now seven-year trend of increasing demand from 2011 to 2018. For the first time, “good” has surpassed “fair” to become the dominant ranking among respondents, with 49 percent indicating that current demand for business loans is “good.”

• Real estate loans are another area of general optimism. Nearly 60 percent of respondents — a record high — rated the current demand for real estate loans as “good.” This increase takes place as the “fair” rating continues to decline, representing an increasing gap between these ratings.

• Continuing trends observed in 2013 and 2016, the 2018 survey shows that the multifamily rental submarket remains the strongest demand sector. This sector is immediately followed by industrial warehousing, with “pick-and-pack” fulfillment centers, a new category for 2018, coming in as the third strongest submarket.

• Respondents communicated that the largest obstacle to business lending is regulatory concerns (30 percent), followed by a lack of qualified borrowers (24 percent) and lack of demand (21 percent). Nevertheless, the perception of lack of demand and lack of qualified borrowers as obstacles is much diminished from five years ago.

• Residential loan demand remains strong, with a slight majority of respondents — 53.8 percent — indicating that demand is “good.” This figure marks continued improvement that has been registered since 2014, when only 22 percent of respondents gave this same rating.

• A slight majority of respondents (57 percent) see home prices remaining unchanged over the next six months, though 2018 continues a trend of fewer and fewer respondents anticipating such stability. Despite a continued increase in respondents who see values dropping over the next six months, a minority of respondents fall into this category (16 percent), while 27 percent see values increasing over the next six months.

• Some shifts are evident in the respondents’ assessment of the most significant obstacles to consumer lending. Regulatory concerns – still largest altogether at 31 percent – are steadily declining, while lack of demand (25 percent) and interest rate risk (19 percent) are growing concerns.

• The categories that best contribute to successful strip malls, according to respondents, can be summed up as “Triple-F”: Food, Fitness, and Fun. Respondents marked the top three contributors as being “Starbucks / Similar Cafés (81 percent),” “Urgent Medical Care Centers” (72 percent), and “Supermarkets” (58 percent), with "Health / Fitness Clubs” falling just out of the top three (45 percent).

• Banks are taking steps to better accommodate their Millennial employees. The most common step indicated by respondents toward this end is a mechanism to give voice to Millennial employees (37 percent), followed by adding Millennial representation to steering committees and adding specific programs or initiatives devoted to Millennial employees, both of which were indicated by 30 percent of respondents.

• Respondents were split as to whether the $10,000 cap on the SALT deduction from federal tax liability would affect their deposit bases. Nearly 4 in 10 respondents (39 percent) see the $10,000 cap as likely to decrease their deposit bases. Nevertheless, a few more than that do not think it will have an effect, and a smaller portion did not know what effect it would have.

• When asked if the imposition of a “Millionaire’s Tax” will hasten the out-migration of affluent Baby Boomers from New Jersey, the response was a resounding, unmistakable, emphatic “yes.” Nine out of 10 (90 percent) indicated that such a tax will hasten that rate.
 


Congratulations STEM Graduates

STEM (Success Through Effective Management)  is  a three-day program designed for Assistant Branch Managers, Branch Managers, and Department Managers. The program focuses on Management Fundamentals, Coaching for Success and Planning & Conducting Effective Performance Evaluations. A module of the NJBankers Leadership Academy, STEM graduates are provided with the essentials for moving their careers forward, advancing their banks goals and advocating for the banking industry.  Congratulations to all!


NJBankers in the News

Community banks, credit unions agree: Dodd-Frank changes are great news
Let’s be clear, a number of New Jersey bank officials and association heads said: The recent overhaul of financial industry regulations that sped through Congress and was signed into law by President Donald Trump on May 24 was not a repeal of the Dodd-Frank Act, the set of rules introduced following the financial crisis a decade ago.

NJBankers applauds Dodd-Frank rollback, despite critics
The partial rollback of the Dodd-Frank regulations should stimulate economic growth in New Jersey by loosening rules on lending, according to banking industry officials.

House rolls back Dodd-Frank regulations
Critics of Dodd-Frank have been working to roll back the regulations since it passed in 2010. The law was put in place following the economic collapse of 2008 when big banks went belly up, markets collapsed, and millions of homeowners fell into foreclosure and lost savings.

*click headline for details


NJBankers Welcomes New Members

NJBankers is pleased to announce that the following firms have joined the Association.  These firms recognize the value of membership in NJBankers and we applaud their support of the New Jersey banking industry.


Schueller Insurance & Financial Group
BBVA Compass


Industry News

Beige Book: Economic Expansion Continues
Economic activity expanded moderately in late April and early May with few shifts in the pattern of growth. In banking, demand for loans ticked higher and banks reported that increased competition had led to higher deposit rates.

Jelena McWilliams Takes Office as FDIC Chairman
Jelena McWilliams was sworn in as chairman of the FDIC yesterday, replacing outgoing chairman Martin Gruenberg, who will remain on the FDIC board until his term expires later this year. McWilliams was confirmed by the Senate late last month.

Agencies ask for public comment on proposal to simplify and tailor "Volcker rule"
Five federal financial regulatory agencies have announced that they are jointly asking for public comment on a proposal that would simplify and tailor compliance requirements relating to the "Volcker rule." By statute, the Volcker rule generally restricts banking entities from engaging in prohibited proprietary trading and from owning or controlling hedge funds or private equity funds.

*click headline for details


Member News

Linda Fisher Appointed to First Vice President/Residential Mortgage Lending Manager  at Atlantic Stewardship Bank
Paul Van Ostenbridge, President and Chief Executive Officer of Atlantic Stewardship Bank, announced the appointment of Linda Fisher to First Vice President/Residential Mortgage Lending Manager of ASB’s Mortgage Department.

Investors Bank originates more than $300M in CRE loans
S
hort Hills-based Investors Bank Commercial Real Estate Lending Group recently originated 15 financing transactions valued at $308.3 million for a range of buildings.

Freedom Bank Hires Diane Scriveri, Executive Vice President and Chief Lending Officer
Freedom Bank, headquartered in Maywood, announced the hire of Diane Scriveri to the position of Executive Vice President and Chief Lending Officer.

Manasquan Bank names new COO
Manasquan Bank in Wall Township has promoted Catherine Franzoni to chief operating officer, a new position.

*click headline for details


Atlantic Stewardship Bank Supports NJBankers 2018 Philanthropic Mission

On May 31st, a volunteer group of ten Atlantic Stewardship Bank employees teamed up with NJBankers 2018 Philanthropic Mission with Eva's Village to help feed poor and homeless individuals within the greater Paterson area. Eva's Village mission is to provide care and support for people who are struggling with poverty, hunger, homelessness, and addiction. Volunteers who help feed the hungry are an essential ingredient in the Community Kitchen.

Pictured L to R: Tim Shaffer, Tim Zaloum, David Tepper, John Willis, Jeff Halverstadt, Paul Van Ostenbridge, JoAnn Avella, Teri McCarthy-Surless, Marie Tramontana and Judy Keyes

If you have not done so already, please consider supporting our mission! Contact Erin Suckiel at esuckiel@njbankers.com or at (908) 272-8500 x629 to get involved and secure your date as soon as possible.


Associate Member News

The FHLBNY Declares a 6.50% Dividend for the First Quarter of 2018
The Federal Home Loan Bank of New York ("FHLBNY") announced that, on May 24, 2018, its Board of Directors approved a dividend for the first quarter of 2018 of 6.50% (annualized).  The dollar amount of the dividend will be approximately $105.3 million.  The cash dividend was distributed to member financial institutions on May 25, 2018.

Riker Danzig Co-Chair Kelly Crawford Honored by Executive Women of New Jersey as One of NJ’s Most Influential Women
Morristown-based law firm Riker Danzig Scherer Hyland & Perretti LLP announced that Executive Women of New Jersey (EWNJ) honored Kelly Strange Crawford, Co-Chair of Riker Danzig, alongside 31 of New Jersey’s most influential and accomplished women leaders. Crawford was recognized for her trailblazing professional achievements and her efforts towards advancing women’s leadership. 

Rashaad Bajwa Joins NJBIA Board
As the New Jersey Business & Industry Association (NJBIA) celebrates its 108th anniversary, it invites a small number of elite business men and women to become members of its Board of Trustees. Rashaad Bajwa, the founder and CEO of Domain Computer Services, InternIT, and BizRatings.com, has been invited to join the Board in 2018.

*click headline for details


2018 NJBankers/Crowe LLP Bank Compensation and Benefits Survey

Exclusive Offer on 2018 Bank Compensation Survey - Participate Now

For more than 30 years, Crowe LLP has conducted a comprehensive annual survey of compensation-related practices in the banking industry. This year, the survey report will provide salary and bonus benchmarks for 263 positions as well as information on benefits, incentives, director compensation, succession planning, and human resource practices. It will also allow you to benchmark your bank’s compensation practices against those of other similar banks.

The survey results can help you address questions such as:
Are our employees being paid competitively?
What are banks planning for salary increases?
Is our executive compensation package competitive?
How do our director fees compare to others?
What can we do to control the costs of benefits?
How do our human resource programs compare with those of other banks?
In addition, by participating in the survey, you will receive access to exclusive thought leadership and a substantial discount off the retail price of the survey report.*

* You must complete the entire survey to be eligible for the report discount.

** If you have not downloaded the template yet, please contact: Claire Anello at 
canello@njbankers.com for a copy of the template.



NJBankers Leadership Academy

The New Jersey Bankers Leadership Academy is an opportunity to learn the skills for moving the bank into the future and ultimately support advocating for the banking industry.

Directors Training Web Seminars
The Webinar Package in conjunction with FinPro offers all of your directors and staff approximately 25 one-hour web-seminars (a year) that can be viewed live or at any subsequent time on an unlimited basis. 

**Please Note:
FINTECH - FRIEND OR FOE? Webinar - New Date: Thursday, June 21, 2018, 11:00 a.m.

*click headline for details 


Women in Banking Conference

Are you missing out?
The Women in Banking Conference is just around the corner and you don’t want to miss this year’s event!  Our speakers are top-notch (we think they’re amazing) with messages that will resonate if you want to learn, lead and be inspired!

Still undecided?
Take a look at this short video of Morris Morrison, our Keynote, who gets to the heart of what’s in store at the Conference!



Wasn’t he cool? And there’s more!
So sign up today while there’s still time.  And if you already signed up, bring your colleagues to experience this enlightening program. There’s room for all to gain knowledge, power and mentorship. Be inspired!  

Dima Ghawi, Transformational Catalyst for Leadership Development and Empowerment has been added to the Program. Her topic will address Transforming Fear into Power.

Concurrent Breakout Sessions

Option A:
Negotiating While Female: How to Get What You Deserve With Your Integrity Intact
Susan Mach, Owner, Mach Creative Services
This workshop offers you practical, real-world tips to improve your negotiation skills.  From preparing to negotiate to figuring out what to do when you're feeling emotional and overwhelmed, this workshop will help make you a fierce negotiator--while protecting your reputation for being a business woman of honor and integrity.

Option B:
“It’s OK to Say No!”

Lauren J. Hammer, Principal, Hammer Leadership
• Thinking Systems - how my saying “no” impacts others in my system (personal and professional)
• Managing uncomfortability - relates to anxiety, self-disclosures, “I” positions
• Engaging in difficult conversations - strategies
• Emotional maturity and emotional courage
• What it means to be helpful and being responsibly responsible (as a leader, with colleagues, customers, family members)
• Accountability - to oneself and others
• Boundary setting for oneself
• Consistency and respecting standards, policies and procedures
• Self-care - putting oneself responsibly before others
• The gift of “no” - allowing others to learn and think for themselves

Option C:        
Unconscious Bias in the Workplace

Dr. Patti Ippoliti, Assistant Professor of Professional Practice, Rutgers Business School
This session will allow you: 
• To understand why diversity and inclusion has become so important in the workplace, both today and in the future
• To build an understanding of what "Unconscious Bias" is, and how it impacts our perspectives, decision-making and behavior
• To begin to identify our unconscious biases and their implications in our professional and personal lives 


Other Industry Meetings


Upcoming NJBankers Conferences - Don't Miss Out on Opportunities for Professional Development!

Employment Law Update Seminar
Monday, June 18, 2018 - NJBankers Office
411 North Avenue East Cranford, NJ 07016

Paid Sick Leave, Equal Pay and a New Task Force on Employee Misclassification – A discussion about these new laws and what employees need to do now. With the election of Governor Murphy a series of new laws have been enacted that directly impact employers and employees, including mandatory paid sick leave and equal pay. 

2018 Compliance University
Wednesday - Friday, June 20-22, 2018
Brookdale Community College
Warner Student Life Center - Lincroft, NJ
It's your job to ensure that your bank fully complies with its outside regulatory requirements and internal policies so you must monitor new developments in regulations and keep everyone at your bank apprised of recent developments. The best place to get the latest information from experts? NJBankers of course! Compliance University is a 3-day intensive look at what you need to know to keep your bank compliant.

Bank Security Seminar
Wednesday, June 27, 2018
Brookdale Community College, Lincroft
A one-day continuing education security seminar for anyone with responsibilities in bank security, risk management, bank operations or administration, legal counsel and fraud prevention. 
Your day will include the following topics: National Security Update, Robbery Training for Front Line Staff, The Four L's of Physical Security, Securing the Future and Call Center Security: Dialing for Dollars.


2018 Bank Trainers Conference


June 26-28, 2018
OMNI HOTEL and RESORT
ChampionsGate – Orlando, Florida

The CBA is pleased to announce that they have joined the Bank Trainers Conference as an Event Partner.  The 2018 Conference is being hosted by the Center for Financial Training and Total Training Solutions.

The Bank Trainers Conference (BankTrainers.com) is designed for employees of financial institutions who are involved in training within their organization. 
AGENDA
This conference is action packed with two days of several sessions and more being added every day!  The program includes 2 pre-conference workshops, 13 confirmed speakers (with more coming), more than 30 training sessions, 3 learning tracks and networking with over 150 of your peers!  To view the entire schedule, visit http://banktrainers.com/agenda/.

REGISTRATION INFORMATION
To register, click here Select “State Association/League - Enter Referral Code Below” in the “How Did You Hear About This Conference?” section.  Type “NJBA” in the “Referral Code”


Check Out Endorsed Service Provider PMC's Winter/Spring 2018 Seminar(s)

Go for the gold with the Best IRA Training Value in America!  Announcing PMC’s Winter/Spring 2018 IRA Seminar tour.  As an endorsed service provider of NJBankers, PMC’s acclaimed staff will be conducting two day IRA training workshops in 14 convenient locations; in particular, Vineland and Cranford, NJ.

Note: All current members of NJBankers registered for one or two days of solid IRA & HSA training from PMC will receive 10% discount off of their low registration fee.

For more information and to register, Click here or call PMC at 800-233-3207. 


PMC's 2018 IRA Reference Volumes

No other IRA resources are updated and relied upon as PMC’s 2018 IRA Reference Volumes.  Utilizing PMC’s IRA reference volumes will give you confidence knowing you’re the IRA expert. Check out their three great options, perfect for any individual or team, and know that all current NJBankers members will receive a 10% discount when purchasing the most respected IRA Reference Volumes in America!  Order today: Click here!


Mark Your Calendar



 Connections Tools
Search Back Issues New Jersey Bankers
411 North Avenue East
Cranford, NJ 07016
Phone: (908) 272-8500
Fax: (908) 272-6626
www.njbankers.com
Visit NJBankers.com Applications Bulletin Regulatory Bulletin Advertising Sponsorships