About BOK Financial

BOK Financial Corporation (BOK Financial) operates as the bank holding company for BOKF, NA (the bank) that provides various financial products and services. BOK Financial offers full service banking in Oklahoma, Texas, New Mexico, Northwest Arkansas, Colorado, Arizona, and Kansas/Missouri. BOKF, NA is a wholly owned subsidiary bank of BOK Financial. BOKF, NA operates TransFund and Cavanal Hill Investment Management. BOKF, NA operates banking divisions across eight states: Bank of Albuquerque, Bank of Oklahoma, Bank of Texas and BOK Financial in Arizona, Arkansas, Colorado, Kansas and Missouri, as well as having limited purpose offices in Nebraska, Wisconsin, Connecticut and Tennessee. Other wholly owned subsidiaries of BOK Financial include BOK Financial Securities, Inc., a broker/dealer that primarily engages in retail and institutional securities sales and municipal bond underwriting; and BOK Financial Private Wealth, Inc., an investment adviser to high net worth clients. During the fourth quarter of 2023, BOK Financial sold its wholly owned subsidiary BOKF Insurance, a broker providing insurance services. The company operates primarily in the metropolitan areas of Tulsa and Oklahoma City, Oklahoma; Dallas, Fort Worth, Houston and San Antonio, Texas; Albuquerque, New Mexico; Denver, Colorado; Phoenix, Arizona, and Kansas City, Kansas/Missouri. The company’s primary focus is to provide a comprehensive range of nationally competitive financial products and services in a personalized and responsive manner. Products and services include loans and deposits, cash management services, fiduciary services, mortgage banking and brokerage and trading services to middle-market businesses, financial institutions and consumers. Commercial banking represents a significant part of the company’s business. The company’s credit culture emphasizes building relationships by making high quality loans and providing a full range of financial products and services to the company’s customers. The company also offers products that leverage its energy financing expertise and enable the company to offer commodity derivatives for customers to use in their risk management. The company’s diversified base of revenue sources is designed to generate returns across a range of economic situations. Wealth management also continues to be a strategic focus. The company provides liquidity to the mortgage markets through trading of the U.S. government agency issued mortgage-backed securities and related derivative contracts and service approximately $100 billion of assets under management or administration. Operating Segments BOK Financial operates three principal lines of business: Commercial Banking, Consumer Banking and Wealth Management. Commercial Banking includes lending, treasury and cash management services and customer commodity risk management products for small businesses, middle market and larger commercial customers. Commercial Banking also includes the TransFund electronic funds network. Consumer Banking includes retail lending and deposit services, lending and deposit services to small business customers served through the retail branch network and all mortgage loan origination and servicing activities. Wealth Management engages in brokerage and trading activities mainly related to providing liquidity to the mortgage markets through trading of U.S. government agency mortgage-backed securities and related derivative contracts. Wealth Management also provides fiduciary services, private bank services and investment advisory services in all markets. Additionally, Wealth Management underwrites state and municipal securities. Loans Commercial Commercial loans represent loans for working capital, facilities acquisition or expansion, purchases of equipment and other needs of commercial customers primarily located within the company’s geographical footprint. While commercial loans are generally secured by the customer’s assets including real property, inventory, accounts receivable, operating equipment, interests in mineral rights and other property and may also include personal guarantees of the owners and related parties, the primary source of repayment of the loans is the ongoing cash flow from operations of the customer’s business. Approximately 70% of commercial loans are located within the company’s geographic footprint, based on collateral location. Commercial Real Estate Commercial real estate represents loans for the construction of buildings or other improvements to real estate and property held by borrowers for investment purposes generally within the company’s geographical footprint. Loans to Individuals Loans to individuals include residential mortgage and personal loans. Residential mortgage loans provide funds for the company’s customers to purchase or refinance their primary residence or to borrow against the equity in their home. These loans are secured by a first or second mortgage on the customer's primary residence. Personal loans consist primarily of loans to Wealth Management clients secured by the cash surrender value of insurance policies and marketable securities. It also includes direct loans secured by and for the purchase of automobiles, recreational and marine equipment, as well as unsecured loans. In general, the company sells the majority of its conforming fixed rate mortgage loan originations in the secondary market and retain the majority of its non-conforming and adjustable-rate mortgage loans. The company’s mortgage loan portfolio does not include payment option adjustable rate mortgage loans or adjustable rate mortgage loans with initial rates that are below market. Home equity loans are primarily first-lien and fully amortizing. Customer Derivative Programs The company offers programs that permit its customers to hedge various risks, including fluctuations in energy, interest rates, foreign exchange rates, and other commodities. Each of these programs work essentially the same way. Derivative contracts are executed between the customers and the company. Offsetting contracts are executed between the company and selected counterparties or exchanges to minimize market risk to the company from changes in commodity prices, interest rates or foreign exchange rates. Deposits As of December 31, 2023, the company’s deposits included transaction deposits; savings; and time deposits. Investment Portfolio As of December 31, 2023, the company’s investment portfolio included U.S. treasury; municipal securities, such as residential agency, residential non-agency, and commercial agency; and other debt securities. Supervision and Regulation As a financial holding company, BOK Financial is regulated under the BHCA and is subject to regular inspection, examination and supervision by the Federal Reserve Board. Under the BHCA, BOK Financial files quarterly reports and other information with the Federal Reserve Board. BOKF, NA is organized as a national banking association under the National Banking Act, and is subject to regulation, supervision and examination by the OCC, the FDIC, the Federal Reserve Board, the CFPB and other federal and state regulatory agencies. BOK Financial Securities, Inc. is regulated by the SEC, the FINRA, the Federal Reserve Board, and state securities regulators. The company is subject to a number of federal and state consumer protection laws that extensively govern the company’s relationship with the company’s customers. These laws include the Equal Credit Opportunity Act, the Fair Credit Reporting Act, the Truth in Lending Act, the Truth in Savings Act, the Electronic Fund Transfer Act, the Expedited Funds Availability Act, the Home Mortgage Disclosure Act, the Fair Housing Act, the Real Estate Settlement Procedures Act, the Fair Debt Collection Practices Act, the Service Members Civil Relief Act and these laws’ respective state-law counterparts, as well as state usury laws and laws regarding unfair and deceptive acts and practices. BOKF, NA received a rating of ‘outstanding’ in its most recent CRA examination, which is above ‘satisfactory.’ Substantially all of the deposits held by the subsidiary banks are insured up to applicable limits by the DIF of the FDIC and are subject to deposit insurance assessments to maintain the DIF. The Federal Reserve Board regulates transactions between the company and its subsidiaries. Generally, the Federal Reserve Act and Regulation W, as amended by the Dodd-Frank Act, limit the company's banking subsidiary and its subsidiaries, to lending and other ‘covered transactions’ with affiliates. Title VI of the Dodd-Frank Act, commonly known as the Volcker Rule, prohibits the company from (1) engaging in short-term proprietary trading for the company’s own account, and (2) having certain ownership interests in or relationships with private equity or hedge funds. History BOK Financial Corporation was founded in 1910. The company was incorporated in the state of Oklahoma in 1990.