#347 - Elaine Agather - Chairman of DFW Region @ JP Morgan Chase - The Makings Of a Banking Icon

Chris Powers: All right, Elaine, thanks for joining me today. 

Elaine Agather: You're so welcome. 

Chris Powers: I have spent all week researching you, and you're entertaining to research. You have quite a story that we're going to unpack today. And everybody I talked to is the highest, best energy you'll ever have on the podcast. So, no pressure. 

Elaine Agather: No. Good.

Chris Powers: Okay, let's talk about getting into banking. How'd you get into banking? 

Elaine Agather: Well, at this point, I've told a lot of these stories. So, bear with me, but I'm from Sherman, Texas. I went to OU, then UT, and went straight to business school. And I needed a job.

It's as simple as that. I had never considered being a banker but wanted to live in New York City. I thought that would be just fabulous, a girl from Sherman. So I flew up there and set up some interviews because, at that point, most firms were not interviewing on the UT campus in the late seventies. One of the interviews I had was with a bank. And it was the job offer, and he said, we'd love to have you come here and join us at Chemical Bank. And I said, Oh, I've always wanted to be a banker. And that's how it started. And the rest of the story, which I love to tell, is I went out to a pay phone, right outside, and called my parents in Sherman, collected, and said, I just got a job offer from Chemical Bank in New York, and I have a job.

And you think about it; my dad was an eighth-grade educated bulldozer officer in, you know, Dust Bowl time, and my mother graduated from high school, never been out of Texas. He could have asked the fourth daughter, and he said, well, does this mean you'll stop calling collect? And I love that story because he would diffuse Stressful moments or with a bit of humour, and I've never forgotten it. And it just, I thought this could be fine. 

Chris Powers: Do you remember what your offer was for? 

Elaine Agather: 25,000, which was a lot of money. That was big dollars compared to what banks were paying in Texas. 

Chris Powers: Do you remember the rent for a room in New York back then? It was a couple of hundred bucks. 

Elaine Agather: That's a great question. Yeah. 

Chris Powers: It's changed just a little bit. 

Elaine Agather: Yeah, it's changed a lot, a whole lot. I was only there for two weeks, and my boss called me in. I thought he figured out I didn't know anything. I still needed to figure out the prom rate, but he said we have this analyst program starting.

You were a summer grad. So we'd like you to come to London. And I still remember I said, England? He goes, yes, London, England. And I said, Yes, I can do that. That was a moment for me because so many times, people overthink, and you have to say yes. And even as a young woman, so I said yes.

I was in New York for two weeks, and then they moved me to London for the analyst program, and I was there for 12 months. 

Chris Powers: And did you know by that point you loved banking? 

Elaine Agather: I knew I loved the people. And I've always had this grateful spirit. I was so thrilled to have a job that I always overworked whoever I was with because I wanted to make sure they didn't rethink their decision, but then I started loving banking.

Shortly after that, the people—it's always the people, you know, in every firm—started teaching me tremendous mentorship. Back then, it was mostly all guys and a lot of mentorship and harsh feedback. And I loved it. That was a real plus, and I could say, okay, that's great. Thank you. I appreciate it. I never got upset or cried. I said okay, and I got harsh feedback. So they can't give it that tough anymore. 

Chris Powers: Why do you think you can handle harsh feedback? 

Elaine Agather: That's a great question. From being from Sherman's fourth daughter, I'm very half full, very positive.

So, I always assumed people wanted to help me. I always thought, Oh, I mean, he's going to, we're going to end up liking each other. And I had some bosses I know would think, how did I get her? How did I get this blonde Texas cheerleader in my office? And I have to tell this one story because it's so funny.

I was mugged early on in New York, probably in 1980. It was lunch hour, and I was gone too long, so a guy on the street helped me chase these two people down. We only caught one. I mean, I don't; I'm not making this up. It was just wild. And they just, and I had a hundred dollars on me, and I was just so irritated about it.

And I got back to work. It sounds silly, but it's one of the best pieces of feedback I ever got as a woman. My boss was named Steve Silverstein; he's no longer at the bank, and he wasn't sure what all about me and hadn't, so I walked in, apologized, and left. I said I'm so sorry I'm late. I was mugged. I would always arrive on time for work. I am so sorry I was late. And of course, we chased her down, and then we got and took her to the police station, but I would never, you know, would be late for, he goes, come in here. He put me in his office and said, let me be real clear. It isn't a debutante party, and you're not a debutante.

We don't apologize in New York when we get mocked. Did he say, you okay? He said, you apologize too much. You look acceptable to me. Come in here and go back to work. Over the years, I'll never forget it because sometimes women find it a habit and apologize too much. And after that, I thought you were right.

I got bugged again. I didn't apologize.

Chris Powers: All right. You spent time in New York but decided to come to Fort Worth, Texas, in 1990. 

Elaine Agather: I didn't. Yes. I was asked to come. So I went into my office, my boss's office, many bosses And said, I'm from Texas, and he says, no shit. And I said, well, I'm telling you I'm going to interview because I'm ready to go home.

He said, go sit down. Yeah. We're buying a bank in Texas. I always said they purchased me a bank so I could move home. And that was Texas Commerce Bank. And so I'm in Dallas, and it's fabulous. At this point, I was married with two little girls, and in 1990, another boss called me into his office and said, We'd like you to move to Fort Worth.

At the time, they had no Texas Commerce Bank run by a woman. And I said, well, I'd love to. You know, I never said too much. I don't remember saying no. And, of course, I fell in love with Fort Worth, Texas. I loved it, loved everything about it. I loved the people. I loved, You know, and it, I think in your, in your career, when you can own something, really anything, a project and have to be, you know, but I kind of most, most of my colleagues in Dallas didn't come to see me in Fort Worth.

I got to own the bank and hire people, which was a game-changer. It changed my career. 

Chris Powers: Okay. So that was 90. Remind me of the year that you started again.

Elaine Agather: 79. 

Chris Powers: Okay. So what do you think you knew? After 11 years of banking, you said you didn't know anything because you started.

But 11 years later, you're now the chairman of a bank in Fort Worth, which probably meant you were young thirties. What did you know by that point that got you? 

Elaine Agather: Not a lot, but I hadn't even attended a board meeting, and they said you have to run the board. I learned that it's all about relationships, which I was good at.

I learned about the client business and the servicing business. At that point, I was in the commercial bank. One of the things I've always been good at and appreciated was all the people who sometimes get ignored: the wire department, the risk department, and the credit department.

These people taught me, and I made friends with everybody and said, okay, how does this work? Over those years, the value of the team cannot be underestimated. Everybody adds to it, and I'll see bankers sometimes who need to remember someone's name. No, no, no, no. They are on your team and just as important as your boss.

They had all taught and wanted to teach me, and I got a lot of feedback. I had been in Fort Worth. It was all guys. I did not have one female officer. We needed to do something there. I went to Joe T's and hired a waitress who had just graduated from TCU.

She was fabulous. We started making a change there, but it was two weeks, and we would call on some clients. I've been there for two weeks. And I got all dressed up, and I've always loved colour. I had on a very, very pink Pepto Bismol pink suit. And I went in, and you can picture it. It's all guys, 1990, and this young man who was an analyst type.

And he goes, oh my God, what do you have on? I said, well, it's a suit. And he's like, I don't care what it is. It looks like Pepto Bismol all over you. He said you can't wear that. We want, and we need, this community to take you seriously. It's way too pink. And then they all froze. They thought, how is she going to react?

I said, fabulous feedback. I said I live 10 minutes from here. Let me go out, put something else on, and we'll go out and make some calls. They never stopped giving me feedback. And that's a gift. And that's what people miss. 

Chris Powers: Do you think feedback needs to be improved today? 

Elaine Agather: Oh, God, yes. And some young people don't even like the word feedback. They call it constructive criticism. I'm like, okay, call it whatever you want, but you want it. It's good and evil, and I get great feedback, too. So it's essential. I barely do it. 

Chris Powers: You listen to their feedback but must still remove pink and purple suits.

Elaine Agather: No, no, I didn't. I first got to meet everybody, and then I brought the pink back. 

Chris Powers: When you landed in 1990, what were you tasked with doing? What was your first day, week, or year on the job?

Elaine Agather: It was an underperforming bank—maybe one of the worst-performing banks in the Texas Commerce Bank System. And so, we needed to figure out—I needed to figure out who the bankers who could Get the business were and who couldn't—and start building a high-performing team. And that meant some people left. We hired new people. We met the clients in town. I don't think there was a calling effort much before that.

We were our first office. We were over by the Tandy Centre and bought First City 93 the second time. We got to move to a new building, which was a game-changer, too. We had a new front door, and everything went into it, and I would, so I worked on the team.

I hired new people and many talented teams today, with whom I still keep in touch. It was ours, and I would even stand in the. I wanted to meet people and would stand in the motor bank to greet everybody coming through. It was great fun. 

Chris Powers: Do you remember, was there a moment or maybe a series of moments where what was trending down?

You remember an inflexion point at which you'd righted the ship. Was it building the team? Was it getting clients in or just something you remember walking in one day and saying, okay, I think I got this? 

Elaine Agather: Well, I remember that there was a gentleman; he's gone and died. He was quite a legend at our bank.

His name was Jimmy Lee, and I called him. He was in the investment bank. I said, Jimmy, It's Elaine. Could you come to Fort Worth? He said; and why would I want to do that? I said, well, we've got some critical people and clients down here that you need to meet. And he said I hear you're changing things down there.

I'll get on a plane tomorrow. That's when I thought we'd bring the best this bank has to this town and never stop. And sometimes, in small towns, you'll see different markets, not get the same attention. That brought the attention to Fort Worth across the bank, and we started getting the best. 

Chris Powers: I love it. All right. We're going to the sidebar for a second. We'll talk plenty about banking and the market, but I first knew you from the rodeo, and you have ridden in nine. We'll work backwards for a second. You've ridden in 950 of them: your third or fourth horse.

Elaine Agather: Or it depends on our dignity. Now we have a mayor, et cetera, and I go back. And I'm already getting moved up.

Chris Powers: Okay. You moved up, and I'm getting the vibe. You haven't taken it. Well, throughout your career, you tend to, you've already said you say yes, but you went in, you said, can I ride in the rodeo? Take it from there. 

Elaine Agather: Well, I got here, and I love riding, and I'm from Sherman, and I went to the rodeo and fell in love with that and went to the general manager, and his name is Bob Watt, who I adored. And I said, Mr. Watt, uh, can I ride in this Grand Entry once? He goes, and you could see him roll his eyes and think, oh, she's that lady banker. Yeah, you can do it one time. Of course, I loved it. I wanted to do it again. I asked if I could do it again. And he looked at me. He said, Young lady, I'm going to tell you something.

If you do one, you have to do them all. I said that would be a problem. And I, even they, you know, they sent me back to Dallas in 2000 to run the business. And then we moved back here. I've been back and forth many times, but I would drive back and forth late from Dallas. I never didn't want to miss it.

And he would, every time I would turn the corner and go backstage in our old arena, he would go, she's still coming, and that was probably one of my favourite journeys: the stock show. 

Chris Powers: Well, I have a quick question. So that's 28 nights. Do you not leave town for 28 days, or do you leave town for the day and be back in town for the rodeo?

Elaine Agather: I only leave town for the occasional Jamie Demon meeting. It trumps it, and I debate. And some people in the bank are going, Elaine, so you must attend this meeting. Okay. So occasionally, that's the only reason I'll miss it. Not sick or anything.

It's that occasionally, there might be a bank conflict. But no, I don't leave town. Everybody knows that. And you can't do something this much without really loving it. There's not; you can't fake something that long. And I remember when we bought one of the banks, and the chairman and I met, sat down, and he said, I have to tell you how annoying.

Now that we're one, I will tell you this: how annoying it has been seeing you ride around on that horse all the time, he said; for another bank, it's very irritating. He said, but you know, right now, we're together; I'll get used to it. It was so funny. 

Chris Powers: It's iconic. It is ironic. And the next question, you know, what's coming is you don't wear the same outfit. So you have 28 of them, at least. 

Elaine Agather: Well, yeah, at least. And not during the year because that would be for the rodeo. 

Chris Powers: So where do these come from? If you're listening to this and you've never been to the Fort Worth rodeo, these are iconic Western wear. Where do these come from?

Elaine Agather: My wardrobe has improved over the 34 years I've done it. And I have a fabulous husband who never quite knew. Sometimes, husbands need to figure out what to get me for Christmas. So, you know, he was listening to an NPR radio program, and it was a story about Western designers. The granddaddy of all was Nudie, and you were D I E.

He was so special. He designed for Roy Rogers. Royce and Nudie put the sequence and stuff on them because Royce said, look, it's the depression. I want to make people happy. And I want them to see me up to the top rafter. So, another gentleman, Manuel, was older and needed to be designing.

It was 12 years ago. There was another man who worked as a young guy, helped new Nudie work under him and lived in Hollywood. And he still designs mainly rock star stuff. My husband pulls over to the side of the road, writes his name down, calls him and says My wife rides around in his circle, winding ride. And would you ever make her an outfit? She loves the design of Nudie. He said, sure, send me a pair of pants and a shirt. 

I got it out of my closet and many outfits later, but I had to promise I would never look him up or try to find his name because he was afraid I might go. By one or two, and he said, let me have this. Just this is my deal. So I can't pick the colour. Who knows what colour it's really? So they're exceptional. And I'll donate to the Cowgirl Museum someday. 

Chris Powers: They're incredible.

Elaine Agather: Thank you. 

Chris Powers: All right. The last thing on the rodeo, which is essential, and you've been outspoken about it, is the culture of it and how it's impacted your life.

Were you a rodeo person or a cowgirl before the rodeo? It turned you into one. 

Elaine Agather: My next-door neighbour had a ranch there, and we'd ride. So I enjoyed Horses and riding, and there was a little parade in Sherman. My dad would ride in the Grayson County Parade. So I had an affinity, but no, this Fort Worth Stock Show and Rodeo are special.

It is the oldest indoor rodeo, and it's 128 years old. The culture is fantastic, and just this past year, they were doing it. It was a choir, and I believe it was a TC choir singing Star Spangled Banner. And I was backstage kind of underneath, and one of the gentlemen that's on the board looked through and could see that one of the young kids was sitting on the ground, and he put his hand through that fence and yanked him up so fast, he said, we stand up during this.

And that's how it just continued. It just passed down. The cows even stopped when it was just the pledge of allegiance. And so the tradition, the kids, the respect, there was a famous actor one-night having dinner backstage. It was 20 years ago. And I knew I thought, well, he'll be upfront.

You know, and I kept looking for him as we were writing in the grand entry. He was rode out right in front of the clowns. I thought, Oh my goodness, someone has messed up. So I got out back, and we got off the horses. I asked one of the guys what had happened. He said he was rude to our waitress, then got right at the top, the front. And it just says it all. The fun thing about it is that they slowly let me in. And when they put me on the executive committee, John Justin was chairman, and he was terrific. And he told me, I was walking into my first meeting, and he said, I'm proud of you, but I have a piece of advice. Wait to say anything in these meetings for about two years. 

Chris Powers: Listen. 

Elaine Agather: I said, Oh, that will be complicated. He said, Try, try. That didn't work. 

Chris Powers: You've ridden in 950 as your horse ever bucked, or is it always been?

Elaine Agather: I have never fallen off or been bucked off. I've been for many years, but only sometimes, and I don't know.

It seems like the past ten years. I have a palomino who's blonde and short like me, so it's been fabulous.

Chris Powers: The culture of the rodeo this year. Were you at the rodeo that night, or did you stay after they retired that bucking? 

Elaine Agather: Oh, I was there. 

Chris Powers: I've seen more people crying in an arena for a horse going to pasture than you see sometimes for a human being.

It was. I've never experienced anything like that. I was teary-eyed. I've never even heard of the horse. Everybody around you is upset, and you're like, all right. What's it like working with Jamie Diamond? 

Elaine Agather: If I look back on my career and the privilege of working in this organization as Jamie, the leader, it will be right up there at the top.

He's extraordinary, authentic, and not a politician. He says what he believes and doesn't spin a thing, and that's refreshing. He was in town many years ago. I had a town hall and two tellers who work and live in East Texas, and I took a vacation day to drive in to hear him.

And I'll always remember that because Jamie appeals not only to the top CEOs in the country but all of our employees. And it's because he cares about him. And he tells it like it is, too. And I've seen him in meetings. Our big receptions criticized Democrats and Republicans in the same room, and they all walked out. Isn't he great?

It's his honesty and vision. At the heart of it, he is a risk manager. Every time we have had, which we've had, and I've lived through many of them, but many bank crises, et cetera, he is not tempted To get ahead of things. He's always thinking about the worst case and preparing for it.

He's taught us, the people around him, that he is such a port in the storm.

Chris Powers: But he's never going to run for president.

Elaine Agather: that's what he says, but every client asks him.

Chris Powers: He gave a speech. I saw him this past year at one of your events in Dallas. And he just said a lot, but he said something.

He said, look, we have banks all over the world. We have clients all over the world. If every immigrant were given the choice in this world where they would live, it'd be the United States, and I see it every day. I walked out of there. I was never more excited about America than hearing him talk about it.

Elaine Agather: Yeah, he is such a Wonderful American. And I've heard him as been, you know, about the presidency and that, and then, well, who you vote for. He said, let me be apparent. Whoever gets in that office, I will support. I'm a red-blooded American, and I'm so proud to be here. So he's a great guy to follow, and you want to do well in his organization.

Chris Powers: So he would ride at the front of the grand entry. 

Elaine Agather: Yeah, that would be fun, wouldn't it? Can you make that happen? Can you imagine? Oh my gosh, it'd be hilarious.

Chris Powers: You have spent a lot of time managing wealth. You run the private bank. You're the chairman of DFW. I wanted to spend some time on wealth management.

How does that business work? People have money. They need to manage it, but what does it look like from your world? 

Elaine Agather: And so I have. I covered the middle of the country, which I love, and Swath in the middle. So Chicago and Minneapolis, Michigan, all the way down. And one thing I've learned.

So, in wealth management, we have a place for everybody in the country who needs help with their money. That's why we have a branch in every state, we're building 500 new branches, and we have 900 000 people visiting our branches daily. We believe in servicing our clientele wherever they are.

And it is our, I think, a lot of young people because of our mobile app, right? We must find a place to meet our clients at the heart of where we help people. It starts a lot of our part of our firm, including financial, education, basic accounts, saving money, etc. And this country is in such need of that.

We focus on helping people with bank accounts, understanding their money, and being able to take care of it—up to very, very wealthy clients in this country. I think I have that, so I was asked to go to a private bank in the mid-90s. It was Texas Commerce Bank, and we didn't have a private bank.

So we were going to build a private bank. We were still determining what it was, but it was, you know, for wealthy people. Then we merged with Chase, and Chase had a private bank, and we got better at it. And then J. P. Morgan. And they were the real deal. And they had the, and I, probably because J. P. Morgan had his private bank. And, we, it, the legacy, the history of the business. And I think what has made our business, the business of helping individuals keep and grow their money and have it to do the things they want to do, have it for their kids and then one of the hardest things that our bankers forget is that I focus on a lot is Helping them plan where they want it to go to boom and that's a very tough one. And it's the most important thing. 

Chris Powers: Do you have a? Obviously, we're not going to mention names or even close to that, but it's like a thought or a story of things that people do well to transition wealth. 

Elaine Agather: It's unbelievable. Some of the families that I see are so functional, and it starts with, And then we have a lot of dysfunction.

Chris Powers: Yeah, what does functional look like? And then, what are things you can see from a mile away? Because this is going to be dysfunctional. 

Elaine Agather: We all see dysfunctions when families sue each other and fight. Sometimes, it's about more than just a lot of money; it's about control.

Chris Powers: Okay. 

Elaine Agather: But it starts with communication. And when I tell all my clients, like patriarchs, if you're the parent and you have an amount of money that, you know, you're going to leave your kids, you have money, and you want to start educating them on what you're going to do with your money, you have to start early. The surprise of a parent dying and finding out later where the money's going is the worst.

And I don't care how much it is; it's the worst. And if you've got four kids and have three pickups, you will tell them before you. I insist you let them know you got this one, the yellow one, the blue one, and you'll get something else. That's why it will be so they don't fight when you're gone.

It's still complicated. It involves families. It involves real people, but I love it because it involves real people helping real people. And it's the essence of being a servant's servant's heart, you know, really trying to help people growing old with them to have so many widows over the years, educating the whole family, the wives.

It's not just one client; you meet their family later. We believe in meeting the whole family. We're a team. We're not, you know, our private wealth business; we don't pay it on commission. We're not a brokerage shop. We make investments. We're amazing. And the investment side, but it's the whole thing.

It's the planning. It's the lending. It would help if you bought a piece of art. You might need a loan, Chris. I can help you with that. I mean, you know it is. It's all-encompassing. That also helps us keep clients for a long time, grow with them, and get to know their kids. We have many, which is one of the best things we do. There are several programs to educate kids, but you know, 22 to 40.

Sometimes, it's easier for the children to ask and get to know a banker, someone who can talk to them about money, then ask their parents all the questions. 

Chris Powers: Do you have an opinion on whether a trustee should be a family member or a third party? Is it situational? 

Elaine Agather: A co-trustee who does it for a living is essential.

Chris Powers: Got it. 

Elaine Agather: It is a burden to give it all to a family member because of the details, the taxing, the tax situation, and the accounting. It would help if you had a professional trustee as a co-trustee who does it for a living every day. It takes that burden off the family member. I tell many clients that you can have a family member as a co-trustee and involve them, which might make them feel more comfortable but only give them some of the burden.

Chris Powers: Is there a loan, or what's the weirdest loan you've ever made? Or you always hear in the private bank, like they'll do anything. Don't do anything, but you have the craziest things that have been done. Is there one that comes to mind? It's like, we did this one thing one time. 

Elaine Agather: Yeah. We'll look at it if we can get some security and liquid collateral for it. They're personally guaranteed, you know, time up, but we are more flexible and try to meet the.

I'm huge on the needs that a wealthy individual might have when we don't want someone to get a voicemail. 

Chris Powers: It's one thing. For example, you have a client who may have sold their business. They just sold their business for the First time to be wealthy or have money. They're looking for a wealth manager.

So they're easier to get. Then there's the more established family that's maybe had money for generations. It is hard to get that person as a client versus the person. It may not be challenging, but what's the process like moving a big family over? Is that decades of relationship building, or what happens for somebody to make a switch?

Elaine Agather: It depends because, like any business, I don't know anyone more accessible. You have to establish trust in a relationship. And I often see in this, just like anything, even like a marriage probably, that you stop taking care of your clients because you've had them a long time. So sometimes, large families are open to moving.

Because they don't know their banker well, so it's essential for my team and all of us to stay focused on our clients and treat them like we're still dating. That's important because we'll find opportunities with large families and new people who have just sold their company.

That's fun because we're helping them with our wealth planner. You know, we have wealth advisors; all are different. Sometimes, we don't even know. It's sometimes about something other than the money first. What do we want to do with this? And let's do it early. So we get the tax situation. A lot goes into it, sometimes only about giving your money today.

How can we help you? Let's get it somewhere safe and earn some interest, but let's talk about your situation. And I would love to meet the whole family. 

Chris Powers: You become intertwined. 

Elaine Agather: Yeah, and I’ve seen it too many times where there's something so simple, and I’m going to give a tip on this podcast. Everybody thinks you're good if you have a joint account; if you die, your wife can. It's a joint account, but that is not the case. The account needs to be titled, right? So it doesn't get caught in state probate, etc. So it's joint with the right of survivorship. Everybody should look at the way their accounts are titled.

So if something happens, you can get to the cash to—I mean, it's not that happy—but, you know, to take care of things. And that's a mistake that's been made a lot. Simple things. 

Chris Powers: Are you sometimes shocked at the wealth a family might have and the amount of sophistication they don't have?

Elaine Agather: Well, they have great sophistication, but only sometimes. Lawyers only sometimes know that, do they? So, it's asking, sometimes the little things get missed, which we like to take care of. 

Chris Powers: Okay. You said we discussed this before and that JP Morgan improves with every crisis. I want to talk about the Silicon Valley bank debacle.

What did that look like? Cause you all bought them, right? 

Elaine Agather: Well, we bought the first Republic. We purchased the first Republic. 

Chris Powers: Okay. But what did that week look like for you? 

Elaine Agather: Crazy. And the calls are coming in panic, like an old-fashioned, you know, Oh my gosh, bank run. Although this bank runs today, it is much faster than standing at the door with technology.

So it was just really wild and very stressful for the clients. And it was not just our private bank, but a commercial bank. It was anybody who had an account and was starting to panic that they'd lose their money, which I've always said is an absolute panic. If you think you'll lose your money, whether through a cyber attack or anything, that's real panic.

So, we helped thousands of clients open accounts and help them. And we got better at, like anything, when you're a big bank, you have to. Step aside, refresh, look at your systems, and look at your procedures because over the years, you add something all the time, and suddenly, you're asking a client for their signature six times.

We improved our account opening process because we started asking why we needed this to ensure it was faster. And then we were like, we've learned a lot through this. And it was always something good that came out of it, but we hired a lot of analysts to help us open the accounts.

And now we've decided they must learn how to open an account. We may add it to their training. It was exciting. I was here in the eighties in banking, and how many people thought, Oh, is this going to be an epic banking crisis like we had? And it wasn't; it was different.

It was very short-lived. And I think even the regional banks—yes, some real estate won't be renewed, and there'll be a little pain there—it's much better than we all thought at the beginning. 

Chris Powers: Yeah. I remember calling a friend; Colin asked if everything was okay.

He's like, We're like Fort Knox, like, okay, I'm going to eat dinner. I skipped over this question, but it'd be necessary. You've hired tons of people. You've seen people start as analysts and build careers. What do you see in, or what do you know about somebody when they're going to be an exceptional wealth manager in a private bank or banker?

What is it that you know will make them successful? 

Elaine Agather: Number one, you can trust them, but not everybody. It is suited for the business to have a close, intimate relationship and be trusted. I still need to remember half of everything. I know, you know, you have to be trusted. For a reason, it is a private bank, and people will share many things on Instagram, but they will only sometimes talk about their money.

So, with the willingness and the genuine desire to serve, there's no test too small. Please call me on Sunday morning. I had some issues hacking into your account, if you feel like it. It's a great private banker. It's a 24-hour job. 

Chris Powers: Do you even think about crypto? 

Elaine Agather: I think about it all the time. Oh, Crypto. I'm sorry. I was thinking cyber. No, crypto. No, I don't think about crypto.

Chris Powers: You think about cyber, though? 

Elaine Agather: I think about cyber a lot. It's our most significant threat because hackers and the bad guys get smarter every day. AI has helped them with voice, you know, mimicking, and we have to get smarter.

We spend a lot of money, and this bank has to be like Fort Knox. So, ensuring we keep your money safe is the number one thing. 

Chris Powers: Why don't you think about crypto? 

Elaine Agather: I'm not sure what it's worth, and I don't trust it. It's not regulated. I grew up in a regulated industry without thinking about or trusting it.

Chris Powers: Is it even a thing? From your view of the world, It's easy to get online and think crypto’s everywhere, but you are working with the wealthiest families in the middle of America. Is it even a thing? Really? 

Elaine Agather: Some of our clients have crypto. That's fine. They dabbled in it.

I don't think anyone has all their wealth in it or should.

Chris Powers: So we'll tie it back to AI. The bank is probably. Is there a way that you're using AI besides working on cyber? Are there other ways you all are thinking about it?

Elaine Agather: Yes, we are very focused on AI, and you know, it's fantastic to see how it can make our jobs more efficient and help us make things that we do.

We have seen many examples recently where. And we have a fantastic group that focuses on AI. And again, you should make friends with them. And it will benefit our business, as we can be more efficient and quicker and help our clients without looking something up for them or finding what they're looking for forever.

There are just a lot of great systems that will come out of it. We're already seeing a lot of it, but we're focused on it correctly. I heard that AI has also found a way to detect if the voice has some issue with it. It might be fake. It still needs improvement, but we'll get it.

Chris Powers: I want to talk about the banking industry as a whole. We spoke about Silicon Valley banks; the banking industry wouldn't say it's been locked up totally, but especially for somebody in real estate, the last two years, it's been locked up regionals. Many maturities are coming, and banks must lend more freely, at least on real estate. What's going on? When are we going to get some good news? 

Elaine Agather: You know, I mentioned regulations. What can I say about rules? So they're ridiculous. The continued increase in how we are regulated and our capital cost keeps increasing.

For large banks like us, it's excruciating. The regional banks have started to feel some of that after last spring. We'll see how this plays out, but there has to be some slowdown on continued increased regulations because then you can't do anything; it's going to lock everybody up and prevent them from being able to do business.

It's so tough. We will be able to because we have a solid balance sheet and a large bank, but it increases the cost to everybody. So, this is an issue in the system. 

Chris Powers: Do you think there's any relief coming? Can we get Jamie to go up to DC and ring the bell? 

Elaine Agather: Many people, including Jamie, are vocal about it, but we'll have to see how it goes. And, of course, there's Politics and legislation. 

Chris Powers: If you had to guess, will we get three rate cuts this year? 

Elaine Agather: I don't think so. 

Chris Powers: Really? Are we going to get one? 

Elaine Agather: I do. One, maybe two. I don't think three. That's just a lane. 

Chris Powers: That's Elaine. During an election year, do you think about elections at all and how they impact the banking industry or not something to do?

Elaine Agather: It's not something to focus on?

I focus on the clients. Elections are going to be what they are going to be. And it doesn't, you know, the market focuses on earnings and growth, and it reacts to the Fed if they're going to cut or not. But I only spend a little bit of time on the elections. Local ones I love.

Chris Powers: Why? 

Elaine Agather: All politics are local, right? Here, we have a fabulous mayor, and I've been very supportive of her. So she's great.

Chris Powers: And we had a great one before that. We've been two for two before that. Fort Worth's been lucky there. 

Elaine Agather: Yeah, we have been under outstanding leadership.

Chris Powers: Let’s start with DFW. We're in like the goldmine of the world. 

Elaine Agather: Unbelievable. 

Chris Powers: What has your position been like over the last decade or four or five years since COVID-19 started? 

Elaine Agather: For so long, you could stick to one zip code in different communities, you know, like in Dallas, one zip code, you know, not anymore.

Wealth is everywhere, growing daily and moving in our community daily. And it takes work to keep up with the different areas. We may have to put a private bank office in Sherman before long. I mean, it's just moving north, Frisco, Prosper, you know, the PGA headquarters up there in Frisco.

It's astounding. And it makes you think of real estate, like where you should be. So you're accessible, i.e., building 500 new branches in the country, but where should the private bank be? Should we have an office somewhere else north where the wealth is growing so we can tap into that for clients?

I am in the middle of the country and want to see the difference in the growth here. And it's. It's good and evil because, you know, you have to make sure you're hiring enough that you can take care of it. And that's one thing we have not stopped during COVID. We kept hiring, and we're still hiring.

 Chris Powers: You keep saying the word office and branches. Those are dirty words to some people, but it doesn't sound like they're dirty words to you. 

Elaine Agather: No, I love it. I'm such a believer in coming in and building culture, and you don't, you do, you know, it's tough to make a culture in your bedroom. But the office space is significant.

I mentioned this to you, but my bankers do not want to return to something tired and looks older than they are. It would help if you refreshed the spaces, and the weary, 80s office buildings must be freshened up. They want activities and light snacks, and they have to have snacks. And they want good coffee, not just any coffee. They enjoy being together, and it's fun.

And when you make the space fun, they will come. I'm a hundred per cent. I keep seeing it. 

Chris Powers: Building a relationship with your banker through a camera is problematic. 

Elaine Agather: It is so hard to build one through the camera. You have to know them. Zoom has been extremely helpful with meetings where you need to chat about something, but in New York, we'll. I visit my clients.

Chris Powers: Jon said it on the podcast. Zoom is suitable for moving businesses up the chain. It could be better for creating or selling businesses. Once you have a project, you can move it through Zoom, albeit slower than in person. 

Elaine Agather: Absolutely. 

Chris Powers: All right. You've had a remarkable career. What does a good year look like for you now? How do you know you've done an excellent job? 

Elaine Agather: Well, we're always very, you know, we're a business, so we want to make sure we're growing, growing clients, growing revenue, and growing our people. A good year is when we successfully bring in new clients and grow the business.

But I see my people blossoming at this point in my career. And for me now, one of the most rewarding things is watching these young, you know, bankers suddenly become fabulous leaders. I hired a 30-year-old man to run our St. Louis office, and he will tear it up.

He's just going to tear it up. I get a call from him every day about something he's doing, and I think energy. And you know it is very addictive when you're around people who are excited about it. And Indianapolis—I have two women running in Indianapolis, and it is so much fun for me to watch it.

The young men, our diversity—it's, and you know, you see him come in as a young analyst, and there's a young man in our Dallas office. I just knew he'd be incredible because, I will tell this story, his name is James Payne. And he's—I hope no one calls him and hires him away, but I had, he wanted, he was an analyst summer intern and just wanted to visit with me. And he knew I only had a few minutes cause I had to go across the street to meet a client. He said, may I walk with you? He had researched and saw who the client I was going to meet was. So we had more time to visit and talk. When he got up there, he said hello to the client and told him how impressed he was with what he had done with this business.

It was so lovely to meet him and walk away, and the client said, hire him. So you hear a lot about the young people. Our future's bright. They are incredible. They're inquisitive. They're entrepreneurs. They're smart. They ask why. They're like, why? And I never asked why. I'm like, okay, I'll go, and that's a great year seeing that.

Where all the different markets people are hitting it, they're leading, getting their people out there. Everybody's rowing the boat. It's tricky business. People and business are hard. It's hard. Everybody performs not, you know, and so it, you have to find a leader that not only has a love of it and compassionate, but as tough as nails, because you want a leader to say there's a fire on the left side of the building, go out now. You need someone to lead you. So, it's fun to see that. 

Chris Powers: The last thing we'll touch on is Elaine's eight. We don't have to go through all eight. I'm going to pick a couple that I like. 

Elaine Agather: Okay. 

Chris Powers: Get Over It. 

Elaine Agather: Yeah, that's my favourite—number six. So, we all have Get Over It stories.

Daily, probably, but this one was significant to me because, the way Elaine’s eight started, I haven't talked about it. I kept getting asked to speak because I had a title, and this, and so these are life stories, and that has gone on and on, but Get Over It was the one associated with the bank. I'll tell you quickly: It was a JPMorgan Chase merger, and two of us in Dallas were doing the same thing.

JPMorgan and Chase. It was Chase. And that's always a little tricky. And, but I've been through 10 now, 11 with first public mergers. Oh, really? Yes. So I get it. And, uh, my boss called me, said, good news. We're having a meeting. In New York, and you're invited. I said, Oh, okay. So I put on my red suit, got on the aeroplane, and the phone rang right before we got off.

And it's my boss. And he said, where are you? I said I was on the plane. He goes, you've been uninvited. And I always talk about this because, see, I had several options, and I haven't met anybody, especially Really men or women, but especially men that wake up in the morning wanting to deal with a mad, crying, screaming woman.

So I said, not a problem. I've been through a lot of mergers. I'm on; I'm headed up there. But if dinner opens up, I'm happy to come. Dinner opened up, and I got all of the Southeast, like Texas to Florida, because you don't fight every battle. Get over it. There are reasons. It's not all about you. It wasn't about me.

And find another way in the door. And so that was when I started thinking about, you know, I need to help my bankers. Like, get over it. Don't keep harping on it. We got it. You made a mistake. Move on. They made a mistake. Move on. And you want to make it easy for people to call you back. Don't be that person.

They go, Oh, do I have to call her? Oh my God. No, you've got to be, you know, the person that, okay, I'll call her. She, you know, it's a difficult task, but I should, I want, I don't mind calling her. So that was one, the personal get-over-it story, which is hilarious. I love parties, and I love any Get-together party.

And so I have been talking about my 50th birthday since I turned 40. I'm in the car with my husband. He's not such a party guy. And he turns to me and says, my birthday was two months ago. It was August; my birthday was October. She asked if she wanted to do anything for her 50th birthday. I said, oh, no, nothing.

Now, that's what women say, and you've got to be aware of that. They lie if you're married; they're lying to you. You better have already thought of it. So I thought, oh, indeed, it's a ploy. Well, it wasn't at the last minute. He said I may need to throw a little party on a Monday night.

My three sisters weren't invited, but I had my game face on and was puffed up at home. And so my daughter, my second daughter was, she was in high school. Maybe she was 15, and she called me on her cell phone and said, I need you up here. Now I ran upstairs. I thought she had fallen. It's about two weeks after the party.

She said, number six, you need to get over it. We messed up, and we'll catch you on your 60th. Guess who planned it? They're the 60th I did. And my husband paid for it, but it worked out. You have to figure out what it is you love and don't, don't expect always someone's going to make it magically happen.

You have to own it. You have to figure it out. Get over. It's my favourite. 

Chris Powers: Okay. It is a critical point. I've never met somebody who's been through three or two mergers. Indeed, I've never met somebody who's been through eleven. What do you know about going through mergers because you've made it through? You're 11 for 11.

Elaine Agather: Most people fear change, which threatens them. You see, and I see this every single time, people become very territorial and do not want to share their business, so they try to protect it. It's the worst thing you can do in a merger.

I saw the team that would win every time and the individuals that would blossom through mergers. It's like, here's what I got. Here are my clients, and you might be better at running this than I am. I'll always remember. That has been said many times. That's a powerful statement when you're in a merger, and you see the leadership of people going, look, I think, I think this, This team member might be and have more knowledge and could run this, and I would be thrilled to be on the team. That gives you an edge in every merger where they know it isn't near; you're not trying to protect something, not trying to defend your job; you're trying to make it better. For the whole place and where the brand, and you know, always say cowboys have this great comment, you know, I ride for the brand, I ride for the brand, but if you get that in your head, this is bigger than me; this is about the firm and trying to make it better. And I think this and said this during one of the mergers. They'd be better at it, but I'd love to be on his team. 

Chris Powers: Did every merger catch you by surprise, or did you know they were coming? I mean, 11. 

Elaine Agather: Yes, I kept thinking, well, we're done. Like after we bought Texas Commerce Bank, okay, well, we're done.

And then manufacturers, Hannibar—I thought we added one more—and they just kept coming. And then, and then, you know, a piece of M Bank in Texas and then First City, and they just kept coming. After Chemical Bank and Chase merged, we changed the name to Chase.

And I thought, well, now we're done, but we weren't. Then, JP Morgan and Jamie Demon were both great names, so we kept both. But then, of course, I thought, we're done. I know we're done. And we bought Bank One. And that's when we got Jamie Demon. 

Chris Powers: So, are you done? 

Elaine Agather: Well, that's it. I don't want to say that anymore.

We have to keep watching this, but after, you know, the First Republic will be a great addition. And we've already seen what you learn; I'll end with this: Every merger there is, so it was that bank was an excellent bank for a reason, and you can learn things from those bankers that other banks can remember.

And I always tell my bankers to listen; their bank was bought for other reasons. It wasn't the bankers embrace and learn from them.

Chris Powers: Elaine. You lived up to every bit of expectation on energy. Thank you. 

Elaine Agather: Thank you.