Old National Bank CEO on Client Optimism, Loan Growth, and Crypto Custody

Client Optimism and Economic Outlook

• 📈 A client survey indicates that clients are twice as optimistic today compared to the same time last year.
• 💡 This increased optimism is seen as a positive sign that bodes well for the latter half of the year.

Loan Growth Drivers

• 🏦 Overall loan growth was 22% higher year-over-year, which includes a recent acquisition.
• 🌱 Excluding the acquisition, core loan growth was closer to 4% on an annualized basis, with continued strong demand from clients.
• 🚜 Strength in the agriculture sector has been a significant driver of loan growth, with provisions in a recent spending bill expected to further help rural economies and farmers.
• ⚠️ Clients are navigating uncertainty, including geopolitical and tax-related issues, and finding ways to continue growing their businesses.
• 📦 Some inventory bills were observed ahead of recent tariffs, which also boosted growth during the quarter.

Exploring Cryptocurrency and Stablecoins

• 🌐 The bank is exploring the cryptocurrency space, recognizing that crypto is here to stay.
• 💰 Opportunities are being considered in helping clients acquire and custody cryptocurrency assets.
• 🔗 There is an ongoing effort to understand how stablecoins will change the movement of money domestically and internationally.
• 🤝 The bank views managing cryptocurrency as another asset class that clients want exposure to, and they aim to help manage that money.