Sees Opportunities for Mortgage Borrowers, Continued Pressure on Savers and Lenders in Environment of Low Interest Rates

January 18, 2013 – Middlesex Savings Bank President John R. Heerwagen announced that the bank’s executive committee has elected Brian Stewart, CFA, as the bank’s chief financial officer and treasurer.  Stewart, a resident of Walpole, Massachusetts, will be in charge of the bank’s financial reporting, asset/liability management, budgeting, forecasting, and wholesale funding.

He will also continue to manage the bank’s $1.5 billion investment portfolio and will remain as chair of the Asset/Liability Management and Pricing Committees.

Stewart has been with Middlesex since 1996 when he joined the bank as Senior Vice President responsible for investment management. He became Executive Vice President in 2008. Before joining Middlesex, Stewart served for four years as Senior Vice President of BayBank in Boston.

Looking to the near-term economic horizon, Stewart commented,

“The effects of low interest rates on savings accounts are going to continue to be felt by seniors and savers. And as long as rates stay low, all banks are going to feel pressure on their net interest margins.  On the other hand, it’s a boon for those who are able to refinance. Mortgage rates are at 50-year lows, and people who refinance will do quite well in this market.”

Asked about recent political developments in Washington, he added, “The country is going to continue running trillion-dollar-per-year deficits, and the tax increase is not going to make much of a dent in it. We’re kicking the can down the road again. We continue to procrastinate and not deal with the big issues.”

Stewart began his banking career at Shawmut National Bank in 1980 after graduating from the University of Massachusetts with a bachelor degree in accounting.  After eight years with Shawmut, he was a vice president at PNC New England for four years.

Stewart grew up in Reading, Massachusetts and graduated from Reading Memorial High School. In addition to his bachelor degree from UMass, he holds a master’s degree in finance from Bentley University and is a Chartered Financial Analyst.  His charitable and community activities include service on the investment committees of the MetroWest Health Foundation in Framingham and the United Church of Walpole, and membership in the Boston Security Analysts Society.