TFC - Truist Financial Corporation (TFC) BofA Securities Financial Services Conference (Transcript)
2024-02-21 14:17:06 ET
Truist Financial Corporation (TFC)
BofA Securities Financial Services Conference
February 21, 2024 10:30 AM ET
Company Participants
Mike Maguire - Chief Financial Officer
Conference Call Participants
Ebrahim Poonawala - Bank of America
Presentation
Ebrahim Poonawala
I think we'll go ahead and get started. So next up, we have Mike Maguire, CFO of Truist Financial. Mike has been a busy man over the last couple of days or last week. So, we appreciate you joining us, taking the time.
Mike Maguire
Yes. My pleasure. I know that it was about a year ago today that we had to miss this conference for similar reason. So glad to be here. Thanks for having us.
Question-and-Answer Session
Q - Ebrahim Poonawala
Yes. Exactly. Thanks for making it. So, I guess, we had a meticulously planned list of questions for you. I had to rip that out last night. So, let's just talk about maybe to kick it off around the transaction that you announced with, not surprising. I think you talked about TIH and the insurance business and exiting that at some point. Maybe just very quickly for those -- everyone that's not in the weeds, do you mind us the strategic rationale for monetizing TIH, why that structure no longer made sense.
Mike Maguire
No, certainly. It's funny. If you think about the minority stake transaction that we announced actually last February, so before a lot of the turmoil that impacted the industry, you'll recall that we headlined that transaction really on a number of points. It was initially that as we thought about the opportunity to continue to support and grow the insurance business, given its capital demands, given the consolidation that was happening in the industry, creating more flexibility to support that business over time was important to us as well the opportunity to at the time, modestly improve our capital position as well.
And then just as we thought about moving into the March, April sort of time period, I think a lot of change occurred in the industry. Just think about the capital regime, the rules that I recognize are still in flux, but seem relatively certain, at least along some lines that for us, as we experienced '23 and thought about 2024 and beyond and the flexibility and the opportunity that we have at Truist in our core franchise was to move from a position -- to a position of relative financial strength became more paramount in our mind....
Truist Financial Corporation (TFC) BofA Securities Financial Services Conference (Transcript)