26 unchanged sentences
Interest Sensitivity Within
−Removed: (dollars in thousands)
−Removed: 3 Months Or Less
−Removed: Over 3 Months
−Removed: thru 12 Months
−Removed: Total One Year
−Removed: Over One Year
+Added: (dollars in thousands) 3 Months Or Less Over 3 Months
+Added: thru 12 Months Total One Year Over One Year Total
Earning Assets:
14 unchanged sentences
Total source of funds $ 1,318,500 $ 158,137 $ 1,476,637 $ 897,843 $ 2,374,480
+Added: Period gap $ (457,013) $ 39,831 $ (417,182) $ 417,182
Cumulative gap $ (457,013) $ (417,182) $ (417,182) $ —
9 unchanged sentences
December 31, 2020
−Removed: Instantaneous Changes in Interest Rates (basis points)
−Removed: Percent Change in Net Interest Income
−Removed: Gradual Changes in Interest Rates (basis points)
−Removed: Percent Change in Net Interest Income
+Added: Instantaneous Changes in Interest Rates (basis points) Percent Change in Net Interest Income
+Added: Gradual Changes in Interest Rates (basis points) Percent Change in Net Interest Income
These scenarios above are both instantaneous and gradual shocks that assume balance sheet management will mirror the base case.
9 unchanged sentences
We consider all of these factors in monitoring exposure to interest rate risk.
−Removed: We are pursuing a strategy that began in 2012 to reduce long-term interest rate risk.
−Removed: The contractual maturity of the investment portfolio was shortened and mortgage backed securities were purchased to enhance cash flow.
−Removed: We were able to grow our loan portfolio while reducing the size of the investment portfolio.
−Removed: New loans originated generally were either floating rate or were fixed rate with maturities that did not exceed five years.
+Added: First Guaranty continues to pursue its strategy to increase loans as a percentage of average assets compared to securities.
+Added: First Guaranty has also been collateralizing more of its public funds deposits with either FHLB letters of credit or with reciprocal deposit insurance programs.
+Added: This facilitates the investment of our deposits in higher yielding loans rather than lower yielding securities that generally have higher interest rate risk.
+Added: This strategy is designed to reduce interest rate risk and improve net interest income.
+Added: New loans that are originated generally are either floating rate or were fixed rate with maturities that did not exceed five years.
+Added: Loans as a percentage of average interest- earning assets increased to 74.7% in 2020 compared to 72.7% in 2019.
Securities as a percentage of average interest-earning assets decreased from 19.3% in 2019 to 17.1% in 2020.
−Removed: Deposit maturities were extended and generally priced lower.
−Removed: We believe that the addition of short-term securities and deploying our capital to grow our loan portfolio will help to lower interest rate risk.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.