Current Banking Risks
Commercial real estate, interest rates and cybersecurity are current risks for banks in the Eleventh District, per second quarter 2025 data.
August 01, 2025
How sensitive is the Treasury cash-futures basis trade to funding condition shifts?
In Depth: The Treasury cash-futures basis trade, a very large, leveraged Treasury trade, has drawn scrutiny because unwinding positions amplified stress during the pandemic-era market shock of March 2020. Although the trade has since become more prominent, recent market activity suggest that financial stability concerns have not simultaneously grown.
July 15, 2025
Research Department Working Papers
An Asset-Liability Management Approach to the Federal Reserve Balance Sheet
The Federal Reserve’s liabilities include a mix of floating-rate instruments, such as reserves, and long-duration, non-interest-bearing instruments, such as currency. This paper investigates the implications of an asset-liability management approach to choosing assets to back these liabilities, with a focus on matching the duration of assets and liabilities.
July 03, 2025
Research Department Working Papers
Technology Providers and Financial Stability: Overview of Risks and Regulatory Frameworks
Technology-focused Third-Party Service Providers (TPSPs) have become important players in the operations of financial institutions and the financial markets. This paper summarizes micro- and macro-prudential regulatory frameworks in place to address risks that TPSPs pose to the financial system.
July 01, 2025
Surveys
Banking Conditions Survey
Loan volume and demand accelerated in June after little to no growth in the prior survey.
June 30, 2025
Waco’s business community thrives on partnerships, trust
A surge in business relocations, driven in part by Waco's central location in the geographic triangle formed by Texas' five largest cities, has served as a foundation for Waco’s growth in recent years.
June 24, 2025
Eleventh District banks rely on core business, stay profitable as loan growth softens
Banks in the Federal Reserve Eleventh District have adapted to rising interest rates, which have discouraged new borrowing and complicated the transition to higher-earning loan portfolios, while credit remains strong as borrowers continue to make payments amidst economic growth.
June 06, 2025
Surveys
Banking Conditions Survey
Loan volume grew slightly while loan demand was unchanged in May. Credit tightening continued, but loan pricing declined.
May 19, 2025
Research Department Working Papers
What Drives Cyber Losses at U.S. Banks? Potential Statistical Markers
This paper models average annual loss (AAL) rates from “attritional” cyber-attacks and other cyber events using new, individual bank level data from the CyberCube “analytics platform” combined with standard bank performance measures.
May 15, 2025
Research Department Working Papers
Asset Manager Commonality and Portfolio Similarity
Asset managers are increasingly influential in financial markets. This paper uses new regulatory as well as manually collected data on asset managers of life insurers, the largest institutional investors of corporate bonds, and finds that insurers with the same asset managers have more similar portfolios and trades.
April 25, 2025