ITA Quarterly Newsletter • November 2017

ITA President's Message

Our annual Fall Conference was another success.  It was well attended, we had strong support from our vendors and sponsors, and we enjoyed informative presentations. Our pre-conference peer group meeting continues to grow, so be sure to attend these, not only at our fall conference, but during other times of the year when they are announced. At our current dues level, we would not be able to host such a fine event without the support of our vendors and sponsors. Be sure to thank them, not only during the conference, but at other times of the year when you do business with them.

I hope you took time to complete the post conference survey to help guide our board when we plan future events. It has been an honor to serve as your President in 2017. I wish all of you continued success as we conclude this year and make plans for 2018.


Jim Mease

Vice President & Trust Officer, Farmers & Merchants State Bank, Winterset


Thanks to Conference Sponsors and Exhibitors

Many thanks to the ITA Conference sponsors and exhibitors. The continued involvement of so many great companies makes for a great event for members.

ITA Conference sponsors

Broadridge Financial Soluntions, Inc.
BTC Capital Management
Eaton Vance Investment Managers
EPIC Advisors
Fintech Securities
Main Street Advisors
Northern Trust
Proxytrust

ITA Conference exhibitors

Aberdeen Asset Management
Broadridge Financial Solutions, Inc.
BTC Capital Management
Eaton Vance Investment Managers
EPIC Advisors
FCI Advisors
Federated Investors
Fifth Third Bank
Fintech Securities
Heartland Advisors
Infovisa
Invesco
ITM TwentyFirst
JP Morgan
Lazard Asset Management
Main Street Advisors
Northern Trust
Peoples Company
Principal Funds
Promontory Interfinancial Network
Proxytrust
Reich & Tang
Steffes Group, Inc.
Summit Ag Management, LLC
T. Rowe Price
The Vanguard Group
Wright Investors’ Service


IBA's Cocktails, Politics and Conversation events set for November

The Iowa Bankers Association (IBA) will host its Legislative Preview meetings in November with the theme, Cocktails, Politics and Conversation. The meetings provide an opportunity to discuss policy issues with state elected officials in a relaxed setting. All Iowa bank employees are encouraged to attend any of these free meetings held throughout the state this fall.


Fall 2017 Land Prices Maintain Strength
Brad Hayes (Appraiser), Peoples Company
We’ve wrapped up the third quarter of 2017 and are working our way through the harvest season. September was a very busy month for land auctions in Iowa. Per our data, there were 103 successful land auctions in the month of September alone. The volume of land auctions slims down for the month of October but, looking ahead to November, the volume of land auctions increases significantly.

Our appraisal team continues to monitor land sale prices on a weekly basis as well as monitor the number of farms that are publicly for sale in Iowa at any given time. As I write this article, our appraisal database indicates there are 717 farms for sale in Iowa which includes row crop farms, pasture farms, recreational farms, etc. Of these 717 farms, we can extract the number of farms that have 85% tillable acres or greater. This dataset allows us to hone in on land value trends for highly tillable, row crop production farms. Our database indicates there are 209 farms for sale that have 85% tillable acres or greater. This averages out to approximately 2.11 highly tillable farms available for sale per county in Iowa which is still very low given the amount of capital that is pursuing farmland assets.

Per our data, it appears that land values bottomed out in the first quarter of 2016 and have seen an upward trend through the second quarter of 2017. Land values appear to have leveled off from the second to third quarter of 2017.
 
The dataset used in the illustration above includes tillable farms that sold at public auction that have 85% tillable acres or greater. Our team calculated the average dollar per CSR2 point ($/CSR2) based on tillable acres. The chart shows the breakdown on a quarterly basis. We look forward to seeing if and how the land market fluctuates through the remainder of 2017 and into 2018.

Legislative Tool Helps you Connect with Legislators

 

The Iowa Bankers Association's Legislative Action Center allows bankers to easily contact legislators electronically. Letters on key pending legislation and regulations are posted on the site and can be easily edited and/or personalized for bankers to send to their respective elected officials and regulators at the state and federal level. The Legislative Action Center is available online at www.iowabankers.com.


Contribute to the Iowa Trust Association

As a reminder, the Iowa Trust Association (ITA) welcomes contributors to their quarterly newsletter. If you would like to comment on recent activities in the industry or let us know about an upcoming event that would be of interest to our readers, please feel free to contact Darcy Burnett, at (800) 800-2353 or dburnett@iowabankers.com. Thank you for your interest in our publication and we look forward to hearing from you!


ITA Newsletter Subscription

If this message was forwarded to you and you would like to receive the ITA Newsletter, e-mail Darcy Burnett to subscribe.


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