customers, both commercial and retail, that very little of the deposit base was outside FDIC-insured limits. Still, there were pockets of disintermediation, and ICBA’s communications team worked overtime to explain, again, the differences in Main Street and Wall Street banking. Happily, community banks were able to calm the nerves of their depositors, and this “hour” passed relatively quickly. “You can work it out by Fractions or by simple Rule of Three, but the way of Tweedle-dum is not the way of Tweedle-dee.” This is a reminder that bond math is not linear, and separately, bond pricing and accounting systems rely heavily on estimates. This can produce fluctuations in some of the more critical portfolio metrics, such as effective duration, cash flow and, therefore, yield. If 2026 sees a nominal drop in market yields, and maybe a further steepening of the treasury curve, your portfolio’s performance could be affected. So, be sure to inspect these assumptions and keep those questions coming. Which brings us to this final Swiftian gem: “We neither of us are able to deliver our conceptions in a manner intelligible to the other.” Evidently, Jonathan Swift had bank examiner-like conversations with his contemporaries. Jim Reber (jreber@icbasecurities.com) is President and CEO of ICBA Securities, ICBA’s institutional, fixed-income broker-dealer for community banks. Turning Readers into Customers Advertising in this public tion connects you with decision-m kers who re ctively seeking solutions, giving your mess ge the credibility nd visibility it needs to inspire ction. Reserve Your Ad Space Today! mbr-connect.com (801) 676-9722 hello@mbr-connect.com 12 The Community Banker
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