Receding Loans May Lead to 'Aggressive' Investment Management
MADISON, Wis. -- If the current trend of stronger deposit inflows and receding loan demand continues, credit unions may need to get more "aggressive" in investment management especially if lending spreads further erode.
That's according to Dave Colby, chief economist at CUNA Mutual Group, and compiler of the June Credit Union Trends Report. Credit unions increased surplus funds by just over $1 billion in June. The nation's credit unions currently hold $208 billion in surplus funds, an increase of $9.2 billion (4.6%) over the past year.