Dr. Hunt’s interest rate forecasts have been amazingly accurate and shares the state of the economy and his forecast for long term interest rates in this complimentary webinar.
S&P Global: Checkpoint Adds Business Development Director to Work With Community Banks
CHECKPOINT CAPITAL, LLC Appoints Wanda Stevens as Director of Business Development
"Given Wanda's very distinguished career at the Texas Bankers Association, we are thrilled for her to join our team. Wanda has heard every banking vendor pitch in the country, so the fact that she chose Checkpoint continues to validate our model," said Jon Virostek, Founder and Chairman, Checkpoint Capital, LLC. "Wanda’s sound knowledge, extensive relationships and outstanding credibility in community banking will facilitate our ongoing growth while providing the excellent service our valued clients have come to expect from us.”
Interview with Founder and Chairman, Checkpoint Capital – Jon Virostek
Interview with Founder and President, Checkpoint Capital – Jon Virostek
by FinTec Buzz
AUSTIN, TEXAS (July 15, 2020) - Mr Virostek brings 25 years of industry experience to his new endeavor, Checkpoint Capital. He began his career in 1994 at the Baker Group and went on to serve as a managing director at Stifel Financial Corp., Cantor Fitzgerald, and Brean Capital before launching Checkpoint Capital.
Below is an excerpt of Virostek’s interview with FinTec Buzz on the importance of transparency and technology in the community banking industry.
1. Can you tell us about your role at Checkpoint Capital?
As Founder/President, I established Checkpoint Capital in 2018. Our offerings are directed towards the community banking sector, and include fixed-income trading, bond portfolio accounting, strategic planning, asset liability management, enterprise risk assessment and board education and training. Our resources level the playing field with large institutions and empower community banks and credit unions to lower costs, increase efficiencies and better manage risk.
2. Can you tell us about your journey into this market?
My career began on Wall Street, which eventually led to managing director roles at Brean Capital LLC, Cantor Fitzgerald & Co., and Stifel Nicolaus & Co. Inc. Those roles brought me a deep understanding of the challenges and opportunities facing Main Street bankers and businesses. Eventually I realized the need for digital transformation in the community banking sector. I developed a passion for leveling the playing field for community banks and credit unions in the investment arena, by providing the type of investment opportunities that large banks utilize. We empower community banks and credit unions by providing transparent pricing and cutting-edge technology in the portfolio management process.
3. How do you think technology is upgrading in the Community banking sector?
Community banks have been slow to adopt new technologies because of the capital costs associated with investing in digital transformation initiatives. But we view this as an opportunity. Because community banks usually do not have much legacy technology or infrastructure to deal with, we can hit the ground running as their partner in the portfolio management process. We can fast forward to the present, get them up-to-speed and help them plan for a successful future.
4. How has the implementation of technology brought advancements to transparent pricing?
We give buyers the choice to know their costs with speed and precision thanks to digitization. Community banks and credit unions have been making multi-million-dollar decisions with no guidance on price for decades. There is a reason larger banks dedicate vast resources to the investment process. Expensive technologies have aided the larger bank buyers to substantially lower their portfolio transaction costs and conduct transactions at warp speed. However, these resources are expensive to implement for most community banks and credit unions. In my view, it is crucial that bankers know the cost of a transaction prior to purchase. Its basic common sense. There should be no surprises when the cost of a transaction shows up in the margin.
5. How do you think digitization has benefitted the portfolio management processes?
There are a vast number of analytical tools available today because of digitization, which has transformed the portfolio management process. But to be successful, you have to keep a close eye on investments and stay current in the market, know how to choose–and use–the right tools, and have the context and understanding to implement them correctly. If all those elements are in place, you can make very smart trades unimaginable a decade ago. Conversely, someone can do great damage to a portfolio in an instant if they do not understand the tools. For all the advantages of digitization, the portfolio management process still requires human expertise. Community banks do not have the staff or resources to compete, so we work as their partner in the process. Prior to digitization, comparative bond pricing in the institutional market was not possible. Now it is possible for community banks and credit unions to slash costs on investments to improve profitability.
6. How do your solutions stand out in the crowded field of fixed-income trading desks?
Checkpoint Capital is the first and only firm that we know of willing to provide fixed income transparency pricing to community banks and credit unions. As such, we are considered an industry “disruptor” in the institutional fixed income space, because we bring large buyer technology and sophistication to the community bank portfolio process. The bond market has been one of the last areas of financial services to undergo significant digital transformation. Not only is fixed income transparency pricing a positive in and of itself, we also provide portfolio managers with support in their related fiduciary roles, which is another distinguishing factor. It is important for CFOs and Portfolio Managers to demonstrate the utilization of industry best practices–such as obtaining best prices–to their boards and shareholders, especially because of the impact on a bank’s balance sheet. Every basis point counts.
To access the remainder of this interview, please visit FinTec Buzz.
About Checkpoint Capital
Austin-based Checkpoint Capital offers community banks and credit unions affordable access to the latest financial technology and analytical tools in order to better understand their unique fixed-income investment needs and gain greater price transparency in the bond market. Our resources level the playing field with large institutions and empower community banks to lower costs, increase efficiencies and better manage risk.
Investment products and services are offered through CUSO Financial Services, L.P. (CFS), a registered broker-dealer (Member FINRA/ SIPC) and SEC Registered Investment Advisor.
To learn more, visit our website: Checkpoint Capital.
About FinTec Buzz
Fintec Buzz is one of the world’s leading Fintech-based media publication with content strategized and synthesized to fit right into the expanding ecosystem of Finance professionals. Be it fintech live news, finance press releases, tech articles from Fintech evangelists or interviews from top leaders from global fintech firms, FinTec gives the best slice of knowledge topped up with the aptest trends.
Their sole mission is to help tech and finance professionals step up with the rapidly emerging Fintech civilization and gain better insights to emerge victorious in every possible way. Fintec adopts a 360-degree approach in order to cater to present a holistic picture of the fintech arena.
For more information, please visit FinTec Buzz.
Expert Leadership Trust Interview with Jon Virostek, Founder | Chairman, Checkpoint Capital
Jon Virostek Joins Austin Business Journal Leadership Trust to Discuss Five Key Business Metrics for Growth
by Austin Expert Panel
AUSTIN, TEXAS (April 20, 2020) — There are many ways to measure your business’s success and growth. There are some widely used metrics, like sales revenue, yearly growth, and profit and loss. However, experienced leaders know there are unique data points that can tell them a lot about the health of their organization.
Austin Business Journal asked five members of Austin Business Journal Leadership Trust, including Checkpoint Capital’s very own - Jon Virostek, to share an unusual but effective metric they track in their business. Here’s why they believe these five data points are so helpful.
1. Face-to-face meetings.
“I keep track of one-on-one business meetings. Social media can give a false sense of accomplishment, and I often see sales brag about followers and likes. This is all positive, but social media is just the first step. The ones who turn that into a personal connection are the ones I see succeed. Tracking your face-to-face meetings will tell you a lot about your employees, sales and margins.” – Jon Virostek, Checkpoint Capital, LLC
To read more of this article and discover what other experienced leaders track and measure, visit Austin Business Journal.
About Checkpoint Capital
Austin-based Checkpoint Capital offers community banks and credit unions affordable access to the latest financial technology and analytical tools in order to better understand their unique fixed-income investment needs and gain greater price transparency in the bond market. Our resources level the playing field with large institutions and empower community banks to lower costs, increase efficiencies and better manage risk.
Investment products and services are offered through CUSO Financial Services, L.P. (CFS), a registered broker-dealer (Member FINRA/ SIPC) and SEC Registered Investment Advisor.
To learn more, visit our website: Checkpoint Capital.
About Austin Business Journal Leadership Trust
Austin Business Journal Leadership Trust is an invite-only network of influential business leaders, executives and entrepreneurs in Austin.
To learn more, visit Austin Business Journal Leadership Trust.
Checkpoint Capital Unveils Transparency with Inaugural Investment Seminar
Noteworthy event highlighting transparent investing will take place in Austin, Texas on September 9 and 10
August 06, 2019 12:05 PM Eastern Daylight Time
AUSTIN, Texas--(BUSINESS WIRE)--Almost one year to the date of the official launch, Checkpoint Capital, an industry leader in transparent pricing for community banks and credit unions, is today announcing its inaugural Investment Seminar. The first annual event, which will take place on September 9 and 10 at the historic Austin Country Club, will feature high-level speakers with a focus on how transparent pricing is changing portfolio management for community banking.
“For a lot of these attendees, this will be their first look at price transparency. What started with stocks in 1975 is just now being introduced into fixed income in 2019. We are excited to be the leader in this long overdue trend.”
The Investment Seminar will be led by Checkpoint Capital’s Founder and President Jon Virostek and recently appointed chief executive officer William K. Weber. Guest speakers include legendary professional golfer Mr. Ben Crenshaw, fixed income and liquidity strategy specialist Ron New and world-renowned economist, Dr. Lacy Hunt of Hoisington Investment Management Company.
“This conference is a milestone for the community banking industry and other mid-sized fixed income investors,” said Mr. Virostek. “For a lot of these attendees, this will be their first look at price transparency. What started with stocks in 1975 is just now being introduced into fixed income in 2019. We are excited to be the leader in this long overdue trend.”
In addition to the guest speakers mentioned above, Checkpoint Capital’s strategic partners, Paragon, Empyrean Solutions and RiskSpan will be presenting their unique, cloud-based technological solutions for community bankers.
For more information and event registration, please Click Here.
About Checkpoint Capital
Austin-based Checkpoint Capital offers community banks and credit unions affordable access to the latest financial technology and analytical tools in order to better understand their unique fixed-income investment needs and gain greater price transparency in the bond market. Our resources level the playing field with large institutions and empower community banks to lower costs, increase efficiencies and better manage risk.
Investment products and services are offered through CUSO Financial Services, L.P. (CFS), a registered broker-dealer (Member FINRA/ SIPC) and SEC Registered Investment Advisor.
To learn more, visit our website: Checkpoint Capital.
S&P Exclusive Checkpoint Capital Bets on Transparency
New fixed-income firm Checkpoint bets on transparency with depository clients
AUSTIN, TEXAS (June 19, 2019) - Checkpoint Capital LLC aims to stand out in a crowded field of fixed-income trading desks by providing price transparency to community banks and credit unions.
Founded in late 2018, Checkpoint's services include fixed-income trading, bond portfolio accounting, asset liability management, strategic planning and board education. It offers investment products and services through broker/dealer CUSO Financial Services LP. The firm is targeting depositories with assets around $200 million and up to about $10 billion.
Founder Jon Virostek, whose experience includes stints as a managing director at Brean Capital LLC, Cantor Fitzgerald & Co. and Stifel Nicolaus & Co. Inc., said Checkpoint can appeal to any size depository, but those with at least $20 billion in assets tend to have more investment infrastructure and less of a need for Checkpoint's services.
While many established broker/dealers offer fixed-income trading and other services to depositories, Virostek said in an interview that Checkpoint is taking a different approach by revealing to customers just how much the company makes on a trade.
Jon Virostek, Checkpoint founder and president
Source: Checkpoint Capital LLC
Community banks and credit unions often have no idea how much of a markup they pay when making a trade, Virostek said, which puts them at a disadvantage to other clients of fixed-income trading desks. He noted that larger banks can afford resources such as staffing, a Bloomberg terminal and analytics that enable them to get more transparency into bond prices. Retail investors are protected under 2018 regulations requiring broker/dealers to disclose how much they make on trades.
Without the regulatory protections and resources to add technology, smaller depositories are one of the few remaining targets for broker/dealers looking to generate high margins on fixed-income trades, Virostek said.
"Community banks and credit unions are getting picked off," he said. "The margins are extremely wide."
Protecting profits is important for fixed-income desks because the electronification of trading has led to compressed margins in the business, and this has helped trigger staff reductions across the industry. Total full-time-equivalent fixed-income front office producer headcount has dropped 16.5% to 17,200 in the first quarter from 20,600 in the first quarter of 2014, according to research firm Coalition.
Given the cutbacks, building a fixed-income business in this environment may seem counterintuitive. However, Virostek said his firm does not have the same margin demands as established players because the Austin, Texas-based Checkpoint will look to operate with low overhead. "[We're] not going to be in class A office space in Manhattan," Virostek said.
He added that since Checkpoint is new, it can build its business to meet current market demands. "We don't have a lot of legacy technology or infrastructure that we're having to deal with or fire," Virostek said.
William Weber, who was recently named CEO and whose previous roles included working as co-head of financial strategies at Keefe Bruyette & Woods Inc., noted that the growth of de novo banks has ticked up, and those are potential client targets for Checkpoint. The company could also look to capitalize on merger fallout from such deals as Stifel Financial Corp.'s acquisition of First Empire Holding Corp., a fixed-income broker whose clients include credit unions.
"Some of the smaller community banks are probably not on the radar screen of some of these guys," Weber said in an interview.
While many are competing for fixed-income trading commissions, Virostek believes his company is in a field of its own. "We're disclosing commissions," he said. "There's nobody doing that."
Licensed to jv@checkpoint.capital
This article was published by S&P Global Market Intelligence and not by S&P Global Ratings, which is a separately managed division of S&P Global.
About Checkpoint Capital
Austin-based Checkpoint Capital offers community banks and credit unions affordable access to the latest financial technology and analytical tools in order to better understand their unique fixed-income investment needs and gain greater price transparency in the bond market. Our resources level the playing field with large institutions and empower community banks to lower costs, increase efficiencies and better manage risk.
Investment products and services are offered through CUSO Financial Services, L.P. (CFS), a registered broker-dealer (Member FINRA/ SIPC) and SEC Registered Investment Advisor.
To learn more, visit our website: Checkpoint Capital.
