Multiple rounds of government stimulus programs have left community banks flush with cash liquidity, and many are unsure how to deploy that liquidity given the uncertainty of deposit stability and loan demand going forward. These excess liquidity levels combined with historically low interest rates has led to record margin compression, and banks remain highly asset sensitive even though the Federal Reserve has indicated they will leave short-term rates unchanged until the end of 2022 or longer. Should banks continue holding record amounts of cash while waiting for loan demand to pick up? Or should they invest now to help fight margin compression that only threatens to be worse in 2022? This session will focus on the challenges banks face in managing liquidity, interest rate risk, and the investment portfolio in an extended low-rate environment, including specific strategies to meet those challenges successfully.