Pricing Indicators. National Pricing Indicators. For the week beginning 6/6/11. (Additional indexes and products inside)

Transcription

1 Pricing Indicators National Pricing Indicators For the week beginning 6/6/11 Highlights Checking account make-up is changing (p.2) No change in the national average APY for deposit product (p.2) No change in liquid-account APY (p.3) No change in term-account APY (p.4) Highest premium on CD 48 months; lowest on CD 12 month (p.5) Very low repricing volume (p.6) About (p.7) (Additional indexes and products inside) For additional information contact: Dr. Dan Geller Direct: Greenfield Ave. San Anselmo, CA Phone: , Fax: Web: All rights reserved

2 Trend alert - Checking account make-up is changing The make-up of checking-account types offered by banks and credit unions has changed since the end of the last recession in July Tiered Interest Checking accounts make up the largest percentage of account types offered by financial institutions. As of May 2011, 38.3 percent of all checking accounts offered were in this category, however, they have experienced the largest decrease since the end of the last recession - down 4.7 percent. High Balance Checking accounts make up 18.6 percent of total accounts offered - up 3.5 percent since the end of the last recession (July 2009). Tiered Interest Relationship accounts is at 10.5 percent - down 3.0 percent. Senior accounts at 9.3 percent - up 1.3 percent; Interest accounts at 8.8 percent - down 1.1 percent; Asset Management accounts at 8.1 percent - up 0.9 percent. The remaining account types; Interest Relationship, Guaranteed Rate, and New Money make up less than 2.0 percent of the total checking accounts offered (Figure 1 and 2). The greatest increase in the number of Checking accounts offered occurred with the Caps/Rewards type of account - up 3.8 percent since the end of the last recession. This type of account offers relatively higher interest rates, currently 1.2 percent, but the amount eligible for interest, or total interest is limited. Figure 1 - Current distribution of checking accounts Figure 2 change in distribution since July 2009 Summary of deposit indicators for this week No change, (0.00), in the combined national-average APY for regular and special now at 0.76% No change, (0.00), in national average for liquid accounts regular and special now at 0.41% No change, (0.00), in national average for term accounts regular and special now at 1.00% Highest Special premium offered on a Regular account in CD 48 months 81 bps Lowest Special premium offered on a Regular account in 12-month CD 1 bps Very low repricing. Less than one fifth (15%) of deposit products were repriced during the week All rights reserved 2

3 National APY Index The National APY index of liquid accounts features national averages for Regular Checking, Saving and MM products at a tier level of $0 up to $10,000, and High Yield Checking, Saving and MM products at a tier level of $10,000 up to $25,000. Liquid Accounts Change from last week Highest increase, 0.00 Highest decrease, MM HY Average increase/decrease, 0.00 Figure 3 Avg. APY this week liquid accounts Spread this week Highest spread Min. to Avg., MM HY 0.27 Highest spread Avg. to Max., SV HY 1.36 Average spread Avg. to Max., 1.11 Figure 4 Product Table 1 Current APY and weekly variance Min. APY Av g. APY Max. APY Last week Avg. Change CH. Basic CH. High Yield SV. Basic SV. High Yield MM Basic MM High Yield Table 2 Product Min. APY Spread Min. to Avg. Spread Avg. to Max. CH. Basic CH. High Yield SV. Basic SV. High Yield MM Basic MM High Yield All rights reserved 3

4 National APY Index The National APY index for term accounts features national averages for CDs of 3, 6, 9, 12, 24, 30, 36, 48 and 60 months, and for the tier of $10,000 up to $25,000. The APY consists of the average of Regular rates offered nationally. Term Accounts Change from last week Highest increase, 0.00 Highest decrease, 0.00 Average increase/decrease, 0.00 Figure 5 Avg. APY this week term accounts Spread this week Highest spread Min. to Avg., CD 60 mo.1.36 Highest spread Avg. to Max. CD 48 mo.1.29 Average spread Avg. to Max., 1.05 Figure 6 Table 3 Current APY and weekly variance Table 4 Product Min. APY Avg. APY Max. APY Last week Change Avg. CD 3 Mo CD 6 Mo CD 9 Mo CD 12 Mo CD 24 Mo CD 30 Mo CD 36 Mo CD 48 Mo CD 60 Mo Product Min. APY Spread Min. to Avg. Spread Avg. to Max. CD 3 Mo CD 6 Mo CD 9 Mo CD 12 Mo CD 24 Mo CD 30 Mo CD 36 Mo CD 48 Mo CD 60 Mo All rights reserved 4

5 Premium APY Index The Premium APY index measures the spread between Regular APY and Special APY. The Premium Index is presented separately for liquid and term accounts. Liquid accounts are for a tier of $0 up to $10,000. Term accounts are for the tier of $10,000 up to $25,000. Liquid Accounts Highest APY premium, CH basic 62 bps Lowest APY premium, MM Basic 29 bps Average APY premium, 43 bps Figure 7 Term Accounts Highest APY premium,, CD 48 mo 81 bps Lowest APY premium, CD 12 mo. -1 bps Average APY premium, 51 bps Figure 8 Table 5 Product Premium Reg. Avg. Spl. Avg. CH. Basic CH. High Yield SV. Basic SV. High Yield MM Basic MM High Yield Table 6 Product Premium Reg. Avg. Spl. Avg. CD 3 Mo CD 6 Mo CD 9 Mo CD 12 Mo CD 24 Mo CD 30 Mo CD 36 Mo CD 48 Mo CD 60 Mo All rights reserved 5

6 Repricing Volume Index The Repricing Volume Index features the volume of rate changes during the week. An index of 50% means that, on average, half of all rates, of the indicated products, have been repriced during the week.. Liquid Accounts Highest repricing volume, 8% Lowest repricing volume, 3% Average repricing volume, 5% Term Accounts Highest repricing volume, CD 60 mo. 57% Lowest repricing volume, CD 3 mo. 5% Average repricing volume, 21% Figure 9 Figure 10 Table 7 Product Repricing Volume Last week Change CH. Basic 3% 2% 1% CH. High Yield 4% 4% 0% SV. Basic 5% 4% 1% SV. High Yield 7% 6% 0% MM Basic 5% 5% 0% MM High Yield 8% 4% 4% Table 8 Product Repricing Volume Last week Change CD 3 Mo. 5% 7% -2% CD 6 Mo. 7% 7% 0% CD 9 Mo. 15% 7% 9% CD 12 Mo. 10% 11% -1% CD 24 Mo. 14% 16% -2% CD 30 Mo. 9% 11% -2% CD 36 Mo. 20% 24% -3% CD 48 Mo. 50% 34% 16% CD 60 Mo. 57% 40% 17% 2011 All rights reserved 6

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