Every year we update our projections on national retail tenants that show higher than average risk of shutting down or having financial problems that elevate probabilities of default in retail centers where banks have loans outstanding. Some of these are obvious and have been in the news for years.
In the past six weeks, the banking landscape has radically changed. Spreads, volume forecasts and the economics of banking have shifted. The outlook for loans credit, deposits, and fee lines are now all different than they were prior to the Trump Administration and banks that are not thinking through the next four years will find themselves being reactive. Most importantly, the mindset and catalysts within public psychology have changed which has caused new thinking within bank marketing.