Anderson students compete in national community bank case study competition

UNM's Anderson School has assembled the first New Mexico team to compete in the Community Bank Case Study Competition hosted by the Conference of State Bank Supervisors (CSBS).

Anderson students are partnering with Main Bank in Albuquerque to analyze real-world banking practices as part of the competition. The competition consists of three rounds of judging, with the winning team announced on May 13 during the CSBS State-Federal Supervisory Forum.

The team consists of four undergraduate students: Abram Barrandey, Ethan Garcia, Abhinav Punnakuzhy, and Taya Perales, as the team lead. Anderson Professor Hsuan-Chi Chen is helping to guide the students as they submit a case study paper and create a five-minute video highlighting their key findings.

"The students will conduct a financial statement analysis, they're going to look at the health of the community bank, and they'll get to see hands-on what a community bank has to report up to the regulators and how those numbers play in their decision-making," said Chris Moya, CEO and president of the Independent Community Bankers Association of New Mexico (ICBA/NM).

Moya previously participated as a competition judge in his prior role as a bank regulator. Moya had noticed that schools in New Mexico had not previously participated and brought the idea of creating a UNM team to Anderson, a move that was met with enthusiasm.

After meeting with Moya, Chen and UNM Professor Subramanian Iyer coordinated with the Lobo Investment Club, which distributed invitations to students to participate in the competition.

Alan Shettlesworth, the CEO and president of Main Bank, explained his interest in participating stemmed from the hope that the competition will introduce students to the community banking model and demonstrate how it benefits the local economy.

"[Community banks] take deposits from the local community and use those funds to reinvest back into the community through loans to support small businesses," said Shettlesworth. "That model is becoming less common today, as more banks are owned by out-of-state institutions that rarely lend within the state."

According to the Independent Community Bankers of America (ICBA), community banks make nearly 60% of U.S. small-business loans under $1 million and more than 80% of the banking industry's agricultural loans. Their local focus often allows them to support borrowers that larger institutions may consider higher risk.

Shettlesworth said that although the banking industry has seen a trend toward consolidation, resulting in fewer institutions serving communities, the shift creates opportunities for students and emerging professionals entering the field.

"The industry is going to have to find creative ways to adapt and become very efficient," said Shettlesworth. "There is major opportunity for new entrants into the market, so that's one of the goals I'm hoping that students realize in this competition."

Moya emphasized that most community banks within New Mexico are in rural areas. For many of these communities, these are the only financial institutions that are available to them.

"I think with UNM participating this year and continuing to participate, it will introduce students to a side of banking they may not have considered. It can spark their interest and help them see that there are strong career opportunities available right in their own hometowns," said Moya.

Taya Perales became interested in participating in the competition after taking Commercial Banking last fall. This semester, Perales is excited to put what she learned into practice.

"There is so much to learn from a competition like this, especially when you get to work closely with a bank and interview professionals in the industry," said Perales.

Along with the experiential learning the competition offers, Perales is eager to build her undergraduate research experience and values the leadership opportunity she will gain as the team lead.

"Stepping into a leadership role means making sure everyone feels confident, especially since it's everyone's first time participating. I want everyone to feel assured in what they're sharing and in the knowledge they bring to the team," said Perales.

Perales will graduate in May and hopes the skills she gained at Anderson will help guide her as she takes the next step in her career.

Anderson prides itself on providing opportunities like this that connect students with community leaders while allowing them to apply what they learn in the classroom. Experiences such as this strengthen community engagement, enhance the student experience, and encourage students to build meaningful professional networks.