Company: TFC
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0000092230-25-000020
Chunk: 75

Company: TRUIST FINANCIAL CORP
Filing Date: 2025-02-25
Form: 10-K
Item: Item 1A
Chunk 75
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ITEM 1A. RISK FACTORS

Summary of Risk Factors

Market Risks

•The levels of or changes in interest rates could adversely affect our results of operations and financial condition.

•The Company’s hedging strategies may not be successful in mitigating our interest rate, foreign exchange, and market risks, which could adversely affect our financial results.

•Changes in monetary, fiscal, and other policies, and changes in the U.S. political environment, could adversely affect us.

•Financial results, lending, and other business activities could be adversely affected by weak or deteriorating economic conditions.

•Geopolitical conditions, the outbreak or escalation of hostilities, acts or threats of terrorism, and related volatility and instability in global economic and market conditions could adversely affect us.

Credit Risks

•The Company is subject to credit risk, and the Company’s allowance for credit losses may not be adequate to cover realized and future losses.

•The Company could have more credit risk and higher credit losses if our underwriting standards and practices are inadequate, we adopt more liberal underwriting standards for competitive or other reasons, or our concentration and other risk limits are not well calibrated.

•The Company may suffer losses if the value of collateral declines in weak, deteriorating, or stressed economic or market conditions.

Liquidity Risks

•Our inability to retain and grow deposits or a change in deposit costs or mix could negatively impact our funding strategy and financial results.

•Truist’s liquidity could be impaired by an inability to access short-term funding, an unforeseen outflow of cash, or an inability to monetize liquid assets.

•A disruption in our access to the mortgage secondary market and GSEs for liquidity could negatively affect us.

•The Company’s cost of funding or access to the banking and capital markets could be adversely affected if our credit ratings are downgraded or otherwise fail to meet investor expectations.

•The Parent Company could have less access to funding sources and its liquidity could be constrained if the Bank becomes unable to pay dividends.

•The financial system is highly interrelated, and financial or systemic shocks or the failure of even a single financial institution or other participant in the financial system could adversely impact us.

Technology Risks

•The Company’s operating systems and infrastructure, as well as operational capabilities managed or supplied by third parties on whom we rely, could fail or be interrupted, which could disrupt the Company’s business and adversely impact the Company’s operations, financial condition, prospects, and reputation, and cause significant legal and financial exposure.

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