Does the extra net interest income generated from lengthening maturities when the yield curve is sloping upward create shareholder value?

Unfortunately, the answer is almost always "no." In some banks, the extra net interest income isn't enough to offset the extra risk, and shareholder value is actually destroyed.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.