Examiners do not evaluate earnings for institutions with total fiduciary assets of less than $100 million. Is this statement true or false?

The statement is true. Examiners often have established criteria for evaluating institutions, and one of those criteria includes thresholds for total fiduciary assets. For institutions with total fiduciary assets of less than $100 million, the examination processes typically focus less on earnings and more on other operational aspects. These aspects may include compliance with regulations, risk management practices, and overall fiduciary responsibility, rather than an in-depth assessment of earnings. The threshold helps examiners allocate their resources more efficiently, prioritizing larger institutions where the potential impact of poor fiduciary practices can be more significant. Thus, when the institution’s total fiduciary assets are below $100 million, it is accurate that earnings are not a central focus of the examination process.