Unlike most of their retail bank peers Bendigo and Adelaide Bank appear to be conceding some market share to rival banks, even as almost all rival banks pick up market share with ease given the drastic decline of non-bank mortgage funders.In a presentation to an investor conference yesterday Jamie McPhee, the chief executive of Bendigo's wholesale bank, provided an update on some aspects of the bank's trading over the second half of the financial year.McPhee said the bank recorded asset growth of 9.8 per cent annualised, year-to date (though this will have to be very close to actual, annual asset growth given there are only two working days left in the financial year).Credit growth in the 12 months to April 2008 (to use the most recent RBA system data) was 14 per cent, while housing credit growth for the system was 11 per cent.One reason for the subdued growth rate of the bank will be the similarity in the bank's business model, at least in the wholesale bank, to those of the non-bank mortgage funders who now find trading conditions difficult.Based on the basic explanations in the presentation, Bendigo's position is that it is focussed "on achieving an appropriate economic return" which may mean that its not doing too much new lending.McPhee did not address the lending stance in the remainder of the retail bank.Reading, roughly, off the chart included in the presentation, it looks like the wholesale mortgage book of the bank has declined by perhaps $500 million to about $16 billion since the peak in outstandings (in this division) in the middle of last year.McPhee said the bank's liability growth was 14.8 per cent over the year to date annualised, which is closer to the experience of its peers.He said credit quality was "performing well". The ratio of impaired assets increased to 0.10 per cent at May 2008 from 0.08 per cent over the two prior years.McPhee said there was a decline of 18 per cent in the bank's margin lending portfolio - give the drop in the the stock market since the peak late last year - but said the portfolio was beginning to grow again.Bendigo has added about 1000 new customers so far this year, to take the total to around 27,000.The principle of margin calls to protect margin lenders against losses hasn't worked in every instance for the bank.There are two delinquent accounts in margin lending, described in the presentation as "uncovered and non-paying".These two accounts have combined exposures of $4.8 million and the bank's taken provisions of $2.7 million.