Carlos Munguia, President & CEO – Dallas-Fort Worth Region, Amegy Bank

In an interview with Invest:, Carlos Munguia, president and CEO of Amegy Bank, Dallas-Fort Worth, discussed the bank’s double-digit loan growth and the opening of a new branch in Arlington. He highlighted the successful implementation of Amegy’s new core operating system, TCS BaNCS, modernizing its technology and enhancing operational efficiency.

How did Amegy Bank grow in North Texas over the past year?

Over the past year, the Amegy Bank-DFW team has worked hard to achieve another year of significant growth, including double-digit loan growth, which is really the driving force behind everything we do. In addition to growing loan and deposit portfolios, we are thrilled to have opened our first-ever Arlington banking center, marking continued expansion into Tarrant County, bringing top-tier private and commercial banking tools and services to the community. 

What are some recent developments for Amegy Bank in the region?

The recently opened banking center in Arlington is significant because it’s centrally located between Dallas and Fort Worth, and in the third biggest city in the metroplex. This centralized location creates ideal and convenient banking access for our clients and the community. 

The new banking center offers enhanced capabilities in commercial, small business, and private banking. The makeup of the branch team positions Amegy to support the varied or unique banking needs of the overall community at a single location. 

After Arlington, we’re looking to possibly expand into other business-concentrated communities in Dallas, Collin and Tarrant counties over the next three years. Currently, we have nine branches in Dallas County and two in Tarrant County.

How does Amegy Bank continue to focus on small and midsized businesses?

Our focus remains on the small business and midsized company sector, particularly minority-owned and family-owned businesses. We support this through various services we’ve developed over the years. For example, Amegy Bank’s Small Business Diversity Banking Program is a special purpose credit program in which we adjust our underwriting standards to serve more minority-owned businesses. The program has seen great success across the state in helping small businesses grow and prosper and was recognized by the American Bankers Association in 2023 as the industry standard for special purpose credit programs. 

Our focus on family businesses within this sector remains strong. We train our bankers, develop networks, and provide education through conferences, webinars, and small-business roundtables. These roundtables bring business owners together to share ideas and meet resources they might not otherwise have access to, which has been effective for us this past year.

We also launched, together with TCU, the Small Business Spotlight, which supports and recognizes small business in Tarrant County and in partnership with Live Nation, we host the DFW Spotlight on Small Business, recognizing and supporting small businesses across all of Greater DFW.

How are you addressing community involvement and education?

Education is a major focus for us. We provide financial education at the middle and high school levels, focusing on entrepreneurship and personal money management. We also offer this to the micro-business segment. Our bankers remain involved with the communities we serve by volunteering time and resources to local nonprofits. Currently, we’re running a back-to-school drive for supplies, which our employees find fulfilling.

What sectors or industries are showing the most demand for your services?

We see demand across various sectors, which makes our work interesting and helps manage risk. During COVID, our economy only dipped 5%, which is incredible given the circumstances. Dallas-Fort Worth’s diversified economy continues to attract new bank competitors to the market, as it closely resembles the U.S. economy in its diversification. The DFW Region has grown its reputation and resources in financial circles as the second major financial hub nationwide, second to New York’s Wall Street. Its central location is also advantageous and is being referred to by some as “Y’all Street.”

What can you share on Amegy Bank’s new core operating system?

The biggest event for us this year was the introduction of our Future Core operating system, TCS BaNCS. We’ve been ideating around and working on this technology migration for over 10 years, and it finally came to fruition in 2024. This system updates our loan and deposit system to a modern architecture. Most domestic banks rely on systems that are 50 years old, so we’re one of the first in the United States with this centralized operating system update. All the banks that are part of Zions Bancorporation, including Amegy, are now on the same system, bringing efficiency and convenience for our clients.

Our new core system operates in real time, allowing us to quickly minimize risk by seeing things as they happen. It can process transactions six days a week, even on Saturdays, helping us catch any criminal activity sooner. Additionally, the system integrates with other key systems through APIs, enhancing our risk management.

What is your assessment of the talent pool in North Texas, and what strategies are you using to attract and retain talent?

Technology is essential, but kind, service-minded people are what truly sets Amegy apart. Our senior leadership group focuses on recruitment, retention, and development of our bankers. For example, our renowned Banker Development Program continues to develop and mentor future leaders of our company. Training is a perk for our employees and benefits our clients.

What are your focus areas for sustainable growth in the coming years?

First is people. We already have the technology, so we feel good about that. Managing our cost of funds and attracting deposits will be integral to our success. At the end of last year, we put together a five-year plan that includes attracting the right types of businesses to grow bank market share and profitability and more effectively manage expenses. Rising interest rates have been challenging, but they are starting to settle down. We might see rate cuts later this year, which will help with the cost of capital and deposits.

Are there any regulatory developments that might affect your operations?

Zions Bancorporation is an $87 billion organization, and $100 billion is a key threshold for increased oversight. We expect to reach that in the next three or four years. New regulations might require banks to issue certain amounts relative to their balance sheets. We’re watching these developments closely. Also, we must ensure we serve everyone, which is a responsibility we take seriously. Our office in Bishop Arts is a significant step toward comprehensive market service, and future expansions will need to be strategic to demonstrate we serve all communities.

How do you see the future of banks evolving, with increasing competition from fintech companies and the digital transformation?

Face-to-face interaction remains valuable for efficiency and personalization. As a regional bank, we serve small, micro, and midsized companies better than anyone. We need to manage our expenses effectively and attract the right types of business. Bank failures in 2023 got everyone’s attention and we’ve addressed concerns about regional banks. It’s essential to have regional banks in the market, and we’ll remain competitive by keeping a pulse on market needs and maintaining strong communication, whether in person or virtually.

Our new core system, TCS BaNCS, is a big deal for us. Combining this technology with our dedicated bankers will make a significant difference. We have a solid plan, and executing it with our technology and talent puts us in a strong position.

What are the top priorities and goals for Amegy Bank over the next two to three years?

Among our priorities are penetrating the minority business owner sector more than we have so far. We’ll use our special purpose credit program, the Small Business Diversity Banking Program, our small business roundtables, and community involvement to achieve this. We value community involvement and see serving micro-businesses as part of that. Beyond the minority business sector, the family business sector remains important. We’ll continue to expand our network, train our bankers, and educate our clients.

Another priority is the capital market segment. We’ve developed an M&A advisory service to help business owners achieve their financial legacy through selling their businesses. Additionally, branch optimization is crucial. We’ll start with key branches like Arlington and Bishop Arts to make the most significant impact.