Issue link: https://nebusinessmedia.uberflip.com/i/1489471
HARTFORDBUSINESS.COM| JANUARY 9, 2023 23 work twice as hard to keep them engaged," she said. "Work from home, a phrase no banker said ever pre-pandemic, is now a reality as well. Existing staff and potential candidates expect it. It's a brand-new business model that our industry will continue to adjust to in 2023." Digital, online trends here to stay The pandemic accelerated con- sumers' transition to digital banking (mobile and online) out of necessity, and the convenience and ability to transact in real-time has changed banking behaviors permanently, Hummel said. "Even older clients who may have preferred transacting at the branch before have continued to use digital products," he said. Banks small and large will continue to invest in digital capabilities as a growth strategy, bankers said. Cybercrime and fraud However, the rise of online and mobile banking also increases the risks of cybercrime and fraud. All forms of attacks increased during the pandemic, according to Lewis, including ransomware, social engineer- ing, account takeover, crypto attacks, malicious insider activity and phishing. The volume and sophistication of CT BANKS SEE STRONG GROWTH HEADING INTO 2022 Despite various economic headwinds, the 31 banks headquartered in Connecticut increased profitability and boosted their loan portfolios through the first three quarters of 2022. Here's a breakdown of their collective financial performance. SEPT. 30, 2022 SEPT. 30, 2021 % CHANGE Net Income (year to date) $579M $574M 0.9% Total assets $107.9B $72.8B 48.2% Total deposits $87B $61.5B 41.6% Total loans and leases $74.3B $45.3B 64.2% Total employees 8,549 7,357 16.2% Source: Federal Deposit Insurance Corp. cybercrime and fraud will increase in 2023, Lewis said. So will the cost to combat those threats. "Companies and individuals need to use multiple tools to mitigate the risk of cybercrime and fraud, including updated software, antivi- rus systems, password managers, multifactor authentication, VPNs, employee training, etc.," Lewis said. "Cybercrime and fraud will be a top risk for all businesses and govern- ment for many years to come." Branch transformation As banks focus more investment on digital tools it's also led to branch closures. From June 2021 to June 2022, Connecticut banks shed a net 48 branches, Federal Deposit Insurance Corp. data shows. But banks aren't just focused on thinning their brick-and-mortar net- works. They are also rethinking the role of branches. Hummel said KeyBank is redesign- ing its branches and refocusing its workforce less on transactional activ- ities and more on providing finan- cial guidance on "moment-of-truth" financial decisions, such as buying a house, paying for college, starting a business or planning for retirement. In 2023, banks will "continue to work toward finding the right balance between brick-and-mortar banking and digital financial services," Hum- mel said. INDUSTRY OUTLOOK | BANKING BEST PLACES TO WORK MARCH 2 • AQUA TURF NOMINATION DEADLINE: DECEMBER 7, 2022 WOMEN IN BUSINESS MAY 4 • AQUA TURF NOMINATION DEADLINE: FEBRUARY 1, 2023 FAMILY BUSINESS AWARDS JUNE 15 • FARMINGTON GARDENS NOMINATION DEADLINE: MARCH 20, 2023 40 UNDER FORTY SEPTEMBER 28 • AQUA TURF NOMINATION DEADLINE: JUNE 1, 2023 C-SUITE AWARDS NOVEMBER 28 • AQUA TURF NOMINATION DEADLINE: AUGUST 31, 2023 HEALTH CARE HEROES DECEMBER 14 • AQUA TURF NOMINATION DEADLINE: SEPTEMBER 15, 2023 AWARD EVENTS SPONSORSHIP OPPORTUNITIES AVAILABLE LEARN MORE HARTFORDBUSINESS.COM/HBJ-EVENTS 2023 EVENT CALENDAR