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ALEXANDRIA, Va. — Despite the on-going disruptions in the markets, NCUA reported that corporate credit unions are still performing well.
“The asset quality of the corporate system is very high,” according to NCUA’s Office of Corporate Credit Unions. “Securities, other than government and agency bonds that are guaranteed by the U.S. government, are highly rated and continue to perform as expected.”
Additionally, the regulatory agency pointed out, earnings are trending upward and liquidity is sufficient to meet demands.
NUCA acknowledged that “determining the market value of mortgage-related securities, classified as either trading or available-for-sale, is very difficult due to the present mortgage market dislocation. However, NCUA has reviewed and is satisfied with the valuation methodologies utilized by those corporates that hold most of the mortgage-related securities in the corporate system. Corporate credit unions have done a good job keeping their members apprised of market conditions and of their financial performance.”
