Monday, August 13

Registration opens at 8 a.m. Program begins at 9 a.m.

Morning Sessions

Introduction to Bank and Thrift Analysis

Mr. Scott Siefers, Managing Director, Sandler, O'Neill & Partners

Please note: This sesssion, Introduction to Bank and Thrift Analysis, presents foundation level material and lays the groundwork for subsequent sessions on bank analysis and valuation. Attendees who have experience with the subject matter may wish to arrive at 10:00 a.m.

In this overview of the bank and thrift business models, participants will learn to identify sources of revenue and risk as well as interpret and calculate key performance and financial strength metrics, including efficiency ratio, net interest margin, asset quality and reserve coverage ratios.

Asset/Liability Management

Dr. William McGuire, President and Chief Executive Officer, McGuire Performance Solutions

This session introduces the fundamental concepts of balance sheet behavior and their contributions to interest rate risk. Participants will explore interest rate risk patterns as well as the common methods used by financial institutions to measure and manage interest rate sensitivity. In a series of short exercises, participants will analyze bank and thrift interest rate risk data to predict changes in income and equity.

Afternoon Sessions

Advanced Topics in Interest Rate Risk

Dr. William McGuire, President and Chief Executive Officer, McGuire Performance Solutions

Participants will examine significant interest rate risk influences, including embedded options and core deposits. The risks inherent in the current period of rising rates are addressed and strategies for hedging balance sheet risk are reviewed. In a concluding case study participants will scrutinize all available interest rate risk disclosures to assess an institution’s earnings quality.

Advanced Bank and Thrift Analysis: Lessons in Earnings Quality and Risk

Mr. James Abbot, Senior Vice President, Friedman, Billings, Ramsey Group

This workshop walks participants through sources of data critical to analyzing a financial institution’s reported earnings and underlying economic health. Participants will explore techniques for normalizing earnings among companies, with special emphasis on mortgage servicing rights impairment and recaptures, merger charges, and gain on sale. The session will also address the earnings impact of bond and swap portfolios, tax strategies and compensation plans.

The day ends at approximately 5:30 p.m.

Tuesday, August 14

Today begins at 8:30 a.m.

Morning Sessions

Evaluating Macroeconomic Trends

Mr. Gerard Cassidy, Managing Director, RBC Capital Markets

This interactive session demonstrates the projected impact of various financing, capital management and acquisition alternatives on a bank’s projected earnings and share price. This session is designed to illustrate strategic alternatives in the context of the current operating environment and opportunities in the marketplace as well as demonstrate the tools and methodologies required to make informed strategic decisions.

Accessing and Managing Capital

Mr. Jake Savage, Senior Managing Director, Scott & Stringfellow

This session reviews the various types of capital available to banks and thrifts, and explores the advantages and drawbacks of various capitalization strategies.  An emphasis will be placed on the balance sheet and income statement effects of capital alternatives, using real financial institutions as case studies.

Afternoon Sessions

State of the Industry Keynote Address

Mr. Gary Perlin, Executive Vice President and Chief Financial Officer, Capital One Financial Corp.

Drawing upon his experience as the CFO of Capital One, Mr. Perlin will explore what today’s changing economic and regulatory environment holds in store for financial institutions. By looking at current banking industry trends, Mr. Perlin will discuss the impact of these issues and expand upon the challenges that may lie in the years ahead.

Fundamentals of Bank Valuation

Dr. Kenneth Eades, Professor of Business Administration, Darden School of Business, University of Virginia

This interactive workshop will focus on the fundamental techniques and ratios used in valuing banks and thrifts as potential investments or acquisitions. Participants will review the key drivers of valuation and explore the relative merits of different valuation techniques by applying each approach in a case study.

OR

Advanced Topics in Bank Valuation

Mr. Gary Penrose, Senior Vice President, Davenport & Company

Offering the M&A practitioner's perspective, this session focuses on techniques for evaluating a potential merger or acquisition. Among the valuation considerations addressed are the potential impact of synergies, the relationship between price and form of payment, identification and valuation of intangibles, and economic and accounting accretion/dilution.

The day ends at approximately 5:30 p.m.

Wednesday, August 15

Today begins at 8:30 a.m.

Securitization

Dr. Tayfun Tuzun, Structured Finance Manager, Fifth Third Bank

This introduction to asset-backed securities details the securitization process and provides a framework for assessing risk to issuers and investors. Dr. Tuzun will address topics including public versus private issuances, product structuring and gain-on-sale accounting.

Investing in Bank Stocks: A Case Study

Mr. Peter Tuz, Portfolio Manger and Senior Security Analyst, Chase Investment Council

This team exercise allows participants to apply the valuation tools and skills developed over past sessions. Using a practical application, teams utilize different approaches to analyzing and valuing a publicly traded financial institution.

Bank and Thrift module concludes at approximately 12:30 p.m. Insurance module begins at 1:30.

Wednesday, August 15

Insurance registration opens at 10 a.m.

Program begins at 1:30 p.m.

Evaluating Property & Casualty Insurers

Ms. Beth Malone, Managing Director and Senior Research Analyst, KeyBanc Capital Markets

In this introductory session on the property and casualty insurance industry, participants gain an understanding of the key products and players within the sector and examine financial statements to calculate key performance metrics. The class concludes with an exercise engaging participants in the comparative analysis of two insurers.

Property & Casualty Pricing Cycles

Mr. Michael Dion, Corporate Research Analyst, UBS Financial Services

Property and casualty insurance is famous for its cyclical nature, as an insurer’s profit picture is never complete outside the context of the pricing cycle. This session addresses the drivers and stages of P&C cyclicality and explores how pricing cycles should factor into the analysis of a company’s strategy and prospects.

The day ends at approximately 5:30 p.m.

 

Thursday, August 16

Today begins at 8:30 a.m.

Morning Sessions

Analyzing Life and Health Insurers

Mr. Eric Berg, Managing Director and Senior Research Analyst, Lehman Brothers, Inc.

Starting with a discussion of the strategic issues facing the industry today, this workshop addresses the fundamental considerations in analyzing life and health insurers and their financial statements.

Life and Health Product Issues

Mr. Stewart Johnson, Portfolio Manager, Phil Smith & Co.

This session examines the influence of macroeconomic trends on the performance of different life and health product offerings. Participants explore each product in detail, concentrating on risk and return characteristics and related hedging strategies and reserving requirements.

 

Afternoon Sessions

Loss Reserves

Mr. Mark Dwelle, Senior Vice President and Equity Analyst, Ferris, Waker Watts, Inc.

An insurance company’s ability to adequately estimate loss development is paramount to its solvency. This session looks at how insurers estimate loss reserves and how reserve adjustments impact their financial statements. Using real world examples as illustration, participants will learn to unlock the mysteries of reserve development triangles.

 

Fundamentals of Insurance Valuation

Mr. John Butler, Principal, Piper Jaffray & Co.

In this interactive session participants learn the principles of insurance valuation as well as the metrics and models that have the greatest predictive power in this industry. The session will also review non-traditional valuation approaches specific to the insurance industry.

OR

Advanced Topics in Insurance Valuation

Mr. Robert J. Looney, Jr., Managing Director, KeyBanc Capital Markets

Beginning with commentary on industry merger activity and trends that are impacting valuation and deal prices, this advanced workshop discusses and demonstrates the subtleties of insurance company valuation, including modeling underwriting and investment income and loss reserve payout patterns.

The day ends at approximately 5:30 p.m.

 

Friday, August 17

Today begins at 8:30 a.m.

Capital Management and Credit Ratings

Mr. Jeffrey Berg, Senior Vice President and Regional Credit Office, Moody's Investor Service

Offering insight into the methods and models used by rating agency analysts to assess an insurer's financial strength, this session examines the relationship between credit ratings and an insurer’s strategic options, and illustrates the relative merits of various balance sheet management strategies. Participants will also be exposed to the concept of risk-based capital and its importance for capital management.

Investing in Insurance Stocks:  A Case Study

Mr. Steven Fickes, Chairman and CEO, Raedel Financial Solutions

This concluding exercise engages teams of participants in a hands-on analysis and valuation of a publicly traded insurance company as a potential investment or acquisition. Participants will have the opportunity to employ many of the metrics and methods presented in preceding sessions.

Program concludes at approximately 1:00 p.m.