Jimmy Evans named in Top 20 People to Know in Banking. Jimmy has over 20 years experience in the banking industry and joined the Independence Bank family in April 2018.
Now that some banking regulations have been eased, what are some top legislative priorities? I believe that for the largest banks in the industry the Comprehensive Capital Analysis and Review (CCAR) or commonly known as “stress test” is a top priority from a legislative standpoint. This really impacts the amount of capital that a bank is required to have and how they manage that capital. This currently has more impact on the larger banks, however, it is something that the community banks should be aware of as regulations can change for all within the industry.
How is rapid M&A/industry consolidation impacting your business? We see the consolidation have an impact on talent within the banking industry and it presents opportunities for those individuals who are impacted to either stay with a brand new organization or take the opportunity to make a career change and join another organization that they believe is a better fit for them and their career path.
Is Louisville’s economy impacted at all by the limited number of regional/large bank headquarters in the city? I don’t believe that there is any negative impact due to a limited number of regional/large bank headquarters here in Louisville. I believe that businesses are well served in this market by the existing regional/large banks and certainly by the community banks. There are also regional/large banks that might not be headquartered in Louisville that either have established loan production offices or call on various businesses from nearby cities. The Louisville marketplace is on the map from a national perspective in terms access to capital.
What’s the smartest way for banks to grow in the current economy? Aside from acquisitions, which every bank has their own philosophy surrounding that topic, I believe the smartest way to grow is to keep up with the technological offerings available that a bank can provide customers. Additionally, I believe it is important for banks to stay consistent in their lending practices and remain actively involved in the communities that they serve.
How is automation and artificial intelligence impacting your business? It causes banks to have to invest in technology in order to keep up with the competition and those advances in technology do allow banks to be more efficient. However, while the technological advances can be very positive there can be a learning curve for both employees and customers. When it comes to impact on customers, that is where I believe it is important to have that personal interaction and customer service to assist customers in learning the new technological offerings.
Why did you choose a career in banking? Prior to getting into banking I was involved in the commercial real estate finance industry and I traveled to both the west coast and the northeast for business. I really wanted an opportunity to work locally, and getting into banking allowed me to work on a local basis. Also, I really like the relationship aspect of the business and the ability to build those relationships locally.
What’s been the best development in your sector of banking over the last year? I believe that the changes to the Dodd-Frank law that was passed in 2010 has been a big positive for all sectors of banking and I also believe that the tax reform has had a positive impact as well. I believe that there is less uncertainty and both businesses and banks have a better level of confidence in the business environment.
What industry sectors are Louisville banks lending to most now? And why? I believe that there is good activity with small to medium sized businesses within various sectors (technology, healthcare, etc.) and we also see activity within the real estate development sector. I believe that due to recent tax reform and banking deregulation there is a sense of confidence in the economy that has allowed businesses to make decisions to expand and purchase new equipment versus stay on the sidelines and likewise, banks have gained a confidence that allows them to be comfortable in extending credit to help those businesses grow.
What’s your overall impression of the local economy? And what’s on the horizon for the economy in 2019? I believe that the local economy is doing well and performing strongly. The completion of the Downtown and East End bridges has spurred a lot of activity in the Southern Indiana market which is part of the Louisville MSA, of course, so both sides of the river are benefiting from the bridges project being complete.
What would you change about the way financial institutions operate in the United States? I would change (lessen) the amount of regulation that the industry has to deal with, as it creates a significant expense for the industry and it has an impact on the customer experience.
What is your biggest concern about the industry? It seems like a reoccurring theme, but regulation or too much regulation can always have an impact on the industry as well as possible down turns in the economy.