Uncle Sean's Update - 2/28/25

​Happy Friday!!!
 
Good news – this update comes to you without any political commentary (which seems to have completely taken over almost all outlets lately) 😬.  Here is the Uncle Sean Update for 2/28/25:
 

• The BEA reported the January PCE Price Index at 2.5% (down from 2.6% in Dec) with Core PCE coming in at 2.6% (down from 2.8% in Dec) - both in line with Dow Jones estimates.  CNBC has a pretty good summary.
  • Meanwhile the second estimate of 4Q24 GDP came in at 2.3% (exactly the same as the early advanced estimate).
    • Worth noting that the US 10YR Treasury yield has come down substantially to 4.223% as of 2/27 close – down from YE close of 4.573% (about 8%); and down from Jan 13 high close of 4.788 (about 13%).  WOW! 😲

 

• The FDIC released their Fourth Quarter 2024 Quarterly Banking Profile report.  I will leave it to you to dig into the details if you want…  But here are two main takeaways (you already know the financial details if you joined our BHB Inside the Numbers quarterly review – there’s that nice plug 😊):
  • Bank earnings are strong as COF decreased and NIM increased with no real asset quality issues aside from continued weakness (nothing new - and starting to get better) in loan performance of non-owner occupied CRE specifically at banks with assets greater than $250B.
  • Acting Chairman Travis Hill stated the FDIC will no longer disclose total assets as part of the Problem Bank List stating that “changes in the industry over the past 35 years have made it comparatively easier to identify a large bank that is added to the list, resulting in a number of potentially negative consequences…”
    • Not that anyone asked me (LOL), but I get it – and I agree.  HOWEVER…  If you need direct visibility into individual bank ratings and full financials (many people do), contact myself or Bobby Button regarding our FedFis Rating© and quarterly reports.
      • For clarity (and a little bit of bragging too 😊), the FDIC is currently tracking 66 banks on the Problem Bank list whereas at FedFis we are tracking 67 banks in the bottom 1% based on our 4Q2024 quarterly FedFis Rating©. 💥

 

• 👉 Shout out to FinGoal for being elected to a three-year term on the board of the Financial Data Exchange (FDX) representing “Smaller Third-Party Data Recipients” further solidifying FinGoal as experts in the open banking space. 🏆
  • Recall back in January where the CFPB approved FDX as the standard setting body for open banking (i.e. 1033) for an initial period of five years.

 

• DolFinTech (money transmitter) announced a new partnership with Green Dot (NYSE: GDOT; FDIC 22653; total assets $4.6B) to offer deposit accounts powered by Green Dot’s embedded finance platform, Arc by Green Dot.

 

• 👍 COCC lands another deal this week as Eagle Bank (FDIC 90191; total assets $630M) selects COCC as its core technology provider.

 

• 👀 This is the third week in a row that MANTL makes headlines – but this week is a bit of a different story as Alkami (Nasdaq: ALKT) has announced an agreement to acquire MANTL in a deal valued at $400M.

 

• Truework (verification of income (VOI) and employment (VOE platform) and Blend Labs (digital origination) have partnered together to bring intelligent VOI / VOE directly into Blend’s suite of consumer banking and home lending products.

 

• i2C has signed on to be one of the first issuer processors for the Mastercard One Credential, empowering consumers to select their payment option, “which may include prepaid, debit, credit, and installments, through a seamless digital experience.”

 

• Treasury Prime notched a big win this week with the announcement that KeyBank (Nasdaq: KEY; FDIC 17534; total assets $184.5B) has partnered with Treasury Prime to enhance the bank’s innovative financial tech solutions to leading software and fintech companies.
  • Banking Dive has a good article with additional detail including:
    • “The partnership targets fintechs, embedded banking clients, and corporate and institutional clients who might need a secondary bank partner but do not have the technical build on that front,” said Jeff Nowicki, chief banking officer at Treasury Prime. 
    • “Treasury Prime’s real-time data is synced into KeyBank’s system. Thus, clients can review transactions and see trends in real time, which is crucial for KeyBank and other lenders within the fintech’s network.”

 

• The Federal Reserve announced it is increasing the "send" transaction limits for FedNow real-time payments from $500K to $1M this summer; as well as customizable “risk parameters across customer segments, from established businesses to retail clients.”

 

• Some Personnel moves:
  • Yendo announced the appointment of Thibault Fulconis as its new Chief Financial Officer.
  • Kotapay (BaaS / Embedded Payments subsidiary of First International Bank & Trust) named Heather Schumacher as Head of Cards and BaaS Operations.
  • Dwolla names Daniel Quezada as Chief Financial Officer.
  • Marqeta has appointed Mike Milotich as Interim Chief Executive Officer, effective immediately; and has initiated a search process to identify Marqeta’s next CEO.

 

• Notable FinTech funding for the week:
  • Opal (credit card and spend management platform for Ad agencies) raised $1.5M in pre-seed funding.
  • Taktile (AI-driven risk management insights and real-time data) raised $54M in Series B funding round to “continue empowering teams at fintech companies and financial institutions to optimize their risk management strategies across the entire customer lifecycle.”
  • Shiboleth (AI-based regulatory compliance solutions for banks and fintech programs) raised $1.5M in seed funding.  Per the article, Shiboleth said that it is live with customers and “experiencing high demand” for proofs displaying compliance tech from financial firms and Fintechs.

 
 
Random Uncle Sean stuff:

• As we close out February, I am particularly excited about Spring being right around the corner! 🌷🌞  Turn off your TV for a few days and go outside and play!!! 🤠
• 42 years ago today, many of us still in our youth, we collectively watched the final goodbye episode of M*A*S*H – a staggering 77% share (percent of active TV’s tuned in)…  I vividly remember spending summers in the 70’s with my grandparents in Oklahoma and trying to stay up late after the news to watch M*A*S*H reruns – it was certainly a daily staple in my grandparents’ house during that time; and a lasting favorite memory of my childhood involving family, togetherness, humor, and national pride.  😊♥️
• Alright – let’s crank out some Dad / Bad Jokes and get this weekend going!
  • Still reminiscing…  The song “Jessie’s Girl” was released 45 years ago (WHAT?!?!)…  So if she’s still watching him with those eyes – she’s got readers on.  I just know it! 👓🎸😂🤘
  • Relationship 101….  The phrase “don’t take this the wrong way” has a 0% success rate with your significant other… 😅😬
  • Not saying I’m old, but….  I thought Ariana Grande was a font setting…. 🙃
  • 🤔 If pigs really could fly, I bet their wings would be delicious!!!! 🐷🤠

 
 
Have a GREAT weekend, please stay safe – and don’t forget to go outside and play!!!
 
Uncle Sean
 
 
Sometimes known as Sean Mayo – contact me directly for scope and pricing of custom reports / analysis projects at [email protected] | 214-604-6961 – or you can contact FedFis Sales Team at 512-960-0911 | [email protected] #FedFisHasTheData FedFis
 
FedFis, LLC disclaimer – The views and opinions of Uncle Sean are of his own and may not necessarily represent the views, endorsements, and/or opinions of FedFis, LLC – we all know he’s a little bit different; but that’s why we love him.