Spotlight On: Fred Castrovinci, Regional President of New Jersey Commercial and Business Banking, Valley Bank
September 2025 — Invest: spoke with Fred Castrovinci, regional president of New Jersey commercial and business banking at Valley Bank, about the bank’s strengthened financial position, diversified loan portfolio, and expanded deposit base. Castrovinci also discussed the bank’s support for key sectors and its future priorities.
What have been Valley Bank’s key achievements or milestones in New Jersey over the past 12 months?
The operating environment for banks was relatively challenging in 2024, highlighted by interest rate and political uncertainty. Despite the backdrop, Valley substantially strengthened our financial position with incremental capital, an improved funding base, and enhanced loan diversity. These efforts enabled us to enter 2025 from a position of strength with the flexibility to support the financial aspirations of our clients and communities. During the year, we continued to add a significant number of new consumer and business deposit customers while further expanding our existing commercial banking relationships. There is significant in-market demand for an institution like Valley, which blends the comprehensive suite of financial products of a larger bank with the high-touch service and local expertise of a community bank. For these reasons, we expect to build further on the momentum we have established so far this year.
How do you see the state of the banking sector and economy in New Jersey? Why is it an ideal location for businesses?
From a broader perspective, we think the landscape will remain challenging for less agile banks that don’t have the ability to pivot their balance sheets or deliver the breadth of services that a growing commercial customer may need. Valley is the largest independent bank headquartered in New Jersey, and New Jersey remains the most significant part of our franchise. The state is thriving with industrial and innovative companies, high-net-worth individuals, and small businesses, including women- and minority-owned businesses. Our proximity to New York City and the seaports generates significant business activity in New Jersey. Main corridors, like the New Jersey Turnpike, allow for easy access to wide-ranging companies operating in the logistics, warehousing, manufacturing, and distribution areas. We are extremely optimistic about the state of the local economy and the opportunities that we see.
With the influx of new residents and businesses relocating to New Jersey, how has this growth impacted Valley Bank and the work that you do?
This influx gives Valley the opportunity to provide the banking tools, advisory services, and capital resources that are necessary for people and businesses to achieve their financial ambitions. That’s the noble part of what we do here at Valley. Because we are so deeply embedded in the fabric of New Jersey, with over 120 branch locations, we have teams that are localized and really understand their communities. Besides giving all employees paid volunteer time off, members of management in each geography serve on boards and committees of nonprofits located throughout their local communities. Through our deep knowledge of the markets and local industries, we have a unique opportunity to match the services and solutions that are best positioned to help our business clients succeed.
What programs does Valley Bank offer to support small businesses and new business owners as they start and grow their companies?
Our robust product set provides the ability to help a business at every stage of its life cycle, from the startup period, through its scaling and expansion, and ultimately, legacy planning. For early-stage businesses searching for access to capital, we have an extremely active SBA program. We have teams across our footprint that partner with community banking officers and business bankers who specialize in helping smaller businesses work through their business plans and develop strategies early on to help them grow.
Which business sectors have seen the highest demand for Valley Bank over the past year?
We have seen higher demand from industries spanning manufacturing, wholesale, distribution, logistics companies, professional services, and nonprofit organizations. For example, we work with large nonprofits that provide group homes and critical services for people with developmental disabilities. In New Jersey, there is high demand for these services, but not enough housing or adult day-care services. We enjoy supporting these organizations and providing a 360-degree relationship, offering depository and loan services while also volunteering and pairing them with customers in other industries to support them. We pride ourselves on being “community connectors” to add immeasurable value to our clients.
What innovative solutions or implementations set Valley Bank apart from others?
Despite our high-touch service and localized expertise, our size has allowed us to partner with innovative technology providers through our Valley Ventures arm. We target pioneering technologies that can add further value to our customers. These efforts are aimed at improving the client experience and offering ancillary products, particularly in the property technology area, that align with the needs of our real estate management clients. We are also constantly looking at ways to leverage AI to enhance internal processes, streamline decision-making, and better forecast customer needs, which could be in the insurance, equipment finance, wealth management, trust, or estate planning areas. Another trend we’ve seen over the last year is that second- and third-generation businesses have gone through sales, acquisitions, and partner buyouts. With that, there are a lot of consultation and advisory opportunities for the bank.
How is Valley Bank adapting its services to address the evolving needs and behaviors of its customers in a dynamic economic environment?
We created the Women in Business Program, designed to offer not just products tailored to certified women-owned businesses but also a network for female entrepreneurs to connect with like-minded professionals and business owners. Valley has an inclusive culture that gives all associates a sense of belonging and the empowerment to a career path wherever it makes sense for them. Valley also has business resource groups that create awareness among various groups and offer mentoring, events, and webinars across the bank. These resources support all our lines of business.
What strategies is Valley Bank employing to attract, retain, and develop talent within the organization, especially in light of labor constraints?
This will be my 25th year at Valley, and I love the organization’s culture. Many individuals have had amazing career paths here. We highlight career pathing and spend a lot of time on talent development across every level of management. The bank has leadership programs based on where you are in your leadership journey and which paths may be of interest. We undergo an annual talent review process to identify top talent, ensure we invest resources in them, and hold ourselves accountable for their development. The culture encourages people to take on new challenges, take risks, and not be afraid to fail, providing a safe environment for growth.
Are there any partnerships with government entities or educational institutions that Valley Bank is pursuing or considering?
Valley’s Government Banking group provides banking at scale for local municipalities, counties, school systems, and educational institutions. We partner with numerous schools and universities at the local level. This is not limited to banking, as we also provide financial literacy and mentoring for students through nonprofit organizations. We are extending our internship program to local universities, offering a vision of a career path in all the markets we serve.
As the banking sector experiences shifts in loan growth dynamics and profitability, what are Valley Bank’s key areas of focus for ensuring sustainable growth?
The bank has improved its funding base with more direct deposits from consumers and businesses. We continue to shift our balance sheet to allow for more growth with core commercial and industrial businesses. As the largest regional bank headquartered in New Jersey with a nationwide presence, we can deliver the financial products offered by money center banks while maintaining a focus on high-touch service and relationships. Our value proposition benefits customers who enjoy easy-to-use technology-enabled products with local expertise. In New Jersey, we are uniquely positioned as a nearly 100-year franchise, with over 120 branches in the state and nearly 230 nationally, and a loyal customer base that trusts us to deliver the right solutions with integrity at every stage of their life cycle.
What are the top priorities and goals for Valley Bank over the next two to three years?
We will continue to ensure that our product offering aligns with our clients’ needs and those of our local communities. Our caring approach to relationship management will help us continue to grow and further diversify our balance sheet. We will remain an innovative bank to deliver solutions for our customers and continue to attract new clients that will benefit from our products and expertise.
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