Financial Performance

Institutional Investments

By Aman Johal | June 30, 2020

Lower interest rates and overall economic uncertainty pushed the investment portfolios of commercial financial institutions nationwide toward shorter allocations in the first quarter of 2020.

By Callahan & Associates, Inc. | June 11, 2020

Join Jason Haley, managing director of ALM First's Investment Management Group and Sam Taft, assistant vice president, business development, Trust for Credit Unions, for a discussion about the latest economic and market insights along with investment trends based on 1Q 2020 Performance Data for all U.S. Credit Unions.

By Sam Taft | June 8, 2020

Cooperatives keep their sights on short-term investments as cash balances grow and participation in derivative programs declines.


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By Sam Taft | June 2, 2020

Credit unions report the largest quarterly increase in investment balances on record as cash balances surge amid economic uncertainty and rate cuts push down investment yield.

By William Hunt | April 16, 2020

Prioritizing liquidity to navigate the uncertain economic climate, institutions allocated a higher percentage of investments toward shorter-term products in 2019.

By William Hunt | Dec. 30, 2019

Credit unions continue to prioritize short-term liquidity, apparent in the movement's investment portfolio.

China trade, interest rate concerns make profitable risk management more critical.

By ALM First Financial Advisors | Oct. 4, 2019

The global economy provided a colorful backdrop for credit union financial executives, board members, and leaders planning for the coming year.

By Callahan & Associates, Inc. | Sept. 10, 2019

Join Jason Haley, managing director of ALM First's Investment Management Group and Sam Taft, assistant vice president, business development at Trust for Credit Unions, for a discussion about the latest economic and market insights along with investment trends based on second quarter 2019 performance data for all U.S

A disciplined strategy and long-term focus provides consistency independent of fluctuating interest rates.

By Sam Taft | June 3, 2019

Stronger than expected seasonal first quarter inflows contributed to the largest quarterly jump since 2009. The average yield on investments also hit a 10-year high.

By Samantha Cristobal | May 27, 2019

Cash and investments at credit unions was down at year-end 2018 as credit unions reallocated funds to fulfill loan demand.

Having the right strategy in place makes investment decisions fairly independent of interest rate rises and falls.

By Maya Neuman | Jan. 2, 2019

Cash and investment balances at credit unions fell 5.4% year-over-year, however, investment yields reached the highest third quarter level since September 2010.

By Samantha Cristobal | Nov. 14, 2018

Test your knowledge of third quarter industry trends with this quiz on earnings by Callahan & Associates.

By Rebecca Wessler | July 23, 2018

Five can’t-miss data points this week on

By Ian Melhorn | July 23, 2018

Credit union investments shift in a rising rate environment.

By Ian Melhorn | May 28, 2018

Take this industry performance pop quiz from Callahan & Associates to learn about trends in credit union investments.

Partner Perspective
How To Invest In Your Members

By Gateway Services Group, LLC | May 21, 2018

Effective outsourcing of investment services is a major step toward success for the institution and the members it serves.

By Rebecca Wessler | Dec. 25, 2017

Credit unions share their best practices with all year. Here, Callahan’s staff writers share their selections for a handful of lesser-known pieces that are worth revisiting.

By Callahan & Associates | Dec. 13, 2017

In this webinar, Callahan & Associates and Kane County Teachers Credit Union discuss how the $225 million cooperative boosts its bottom line via a diversified revenue stream.

By Liz Furman | Dec. 1, 2017

Quarter-over-quarter, credit union investments shrank 3.0% as credit unions diverted assets from the investment portfolio to the loan portfolio.

By Rebecca Wessler | Sept. 5, 2017

Five can't-miss data points featured this week on

By Liz Furman | Sept. 1, 2017

Investment growth at credit unions has been positive for four out of the past six quarters.

By Liz Furman | July 1, 2017

With rising Federal Reserve rates and increased consumer confidence, the credit union industry posted positive year-over-year investment growth in the first quarter for the first time since 2013.

By Marc Rapport | June 6, 2017

The movement’s investment portfolio in the first quarter remains liquid for lending and buffers against rising interest rates.

By Marc Rapport | June 5, 2017

The Colorado cooperative’s mortgage-backed security re-purchase strategy makes more of investments and funds member give-back programs.

By Rebecca Wessler | April 24, 2017

Five can't-miss data points featured this week on

By Greg Gonsalves | April 24, 2017

Cash at other financial institutions and Fed agency MBS have increased by 6.4% and 4.2%, respectively, over the past year. What else has happened inside the credit union investment portfolio?

By Callahan & Associates | April 10, 2017

Twenty-eight graphs, charts, and maps that evaluate credit union performance in the fourth quarter of 2016.

Lending activity remained strong and investment balances declined.

By Callahan & Associates | Dec. 1, 2016

Twenty-eight graphs, charts, and maps that evaluate credit union performance in the third quarter of 2016.

By Rebecca Wessler | Nov. 28, 2016

Five can't-miss data points featured this week on

By Liz Furman | Nov. 15, 2016

With market uncertainty, it’s surprising to see a quarter-over-quarter and year-over-year increase in investments. Less surprising is the attraction of short-term investments.

By CUSO Financial Services, L.P. | Nov. 7, 2016

New DOL Fiduciary Rule is an opportunity to assess credit unions’ long-term goals for their investment advisors.

By Callahan & Associates | Oct. 31, 2016

Twenty-eight graphs, charts, and maps that evaluate credit union performance in the second quarter of 2016.

By Callahan & Associates | Sept. 28, 2016

A monthly collection of Callahan content that, together, addresses a single topic from a variety of perspectives.

Continued loan demand draws down investment balances.

By Dwight Johnston | Aug. 11, 2016

Although there are differences in bond rates around the world, they are all trading in the same direction.

By Sharon Simpson | Aug. 8, 2016

Generations FCU explains how it uses the investment portfolio as a vehicle that produces income in its own right.

By Callahan & Associates | July 4, 2016

Twenty-eight graphs, charts, and maps that evaluate credit union performance in the first quarter of 2016.

By Liz Furman | June 13, 2016

Risk managers monitor disparate areas of the credit union. For key ratios to follow, start with the measures that correspond to the risk indicators outlined by the NCUA.

By Callahan & Associates | April 30, 2016

A break down of the industry’s financial performance and impact in fourth quarter 2015.

By Callahan & Associates | April 30, 2016

Which credit unions are investing dollars in and loaning money to credit union service organizations?

Safe, liquid investments drive year-end "window dressing" as Feds act on long-awaited rate increase.

By Rebecca Wessler | Feb. 1, 2016

This week, features five articles showcasing strategies different credit unions use to manage balance sheets and better serve members.

By Erik Payne | Feb. 1, 2016

Advice from a credit union that holds nearly 30% of its total holdings in investments.

Loan growth drives down balances while industry assets overall remain steady.

By Jon Jeffreys | Jan. 4, 2016

Crowdfunding provides opportunities for credit unions, small businesses, investors, and local communities.

Lower cash balances drive longer average life as derivatives usage slowly grows.

By Callahan & Associates | June 29, 2015

A break down of the industry’s financial performance and impact in 1Q 2015.

By CUSO Financial Services, L.P. | June 1, 2015

This paperless technology can change the way advisors do business and the way credit unions and banks look at their investment programs.

By Kevin Heal | May 19, 2015

This quarterly snapshot from TRUST Mutual Funds shows total investments at credit unions increased $14 billion since year-end 2014.

By Dwight Johnston | May 12, 2015

Bond traders are on their tiptoes in an effort to not disturb the German beast.

By Janet Lee | May 4, 2015

Credit unions are increasing their holdings in securities available-for-sale while banks are increasing their holdings in securities held-to-maturity. How do these different strategies relate to price risk?

By Janet Lee | May 4, 2015

How would a bump in interest rates affect investments at U.S. credit unions?

By Callahan & Associates | April 7, 2015

A break down of the industry’s financial performance and impact in 4Q 2014.

By Janet Lee | March 9, 2015

News reports of an impending increase in the interest rate environment are widespread. These three graphs show whether credit unions are positioned to respond.

By Sharon Simpson | Feb. 24, 2015

Patelco Credit Union takes a holistic view when it comes to evaluating investment decisions.

Credit unions are keeping their powder dry waiting for rates to rise.

By Callahan & Associates, Inc. | Jan. 27, 2015

Callahan chairman Chip Filson argues against the revised risk-based capital proposal.

By Callahan & Associates, Inc. | Jan. 27, 2015

Callahan chairman Chip Filson and senior analyst Andrew Bolton explore the changes to NCUA's proposed risk-based capital rule.

By Callahan & Associates | Jan. 22, 2015

A break down of the industry’s financial performance and impact in 3Q 2014.

By Kevin Heal | Dec. 18, 2014

Emerging signs of economic strain underscore the need for financial prudence.

By Callahan & Associates, Inc. | Dec. 8, 2014

Callahan & Associates chairman Chip Filson and industry analyst Janet Lee discuss how to examine a credit union's ALM trends and identify how those trends compare to peers.

Investment balances decline with consumer lending at a record pace.

By Callahan & Associates | Oct. 13, 2014

A break down of the industry’s financial performance and impact in 2Q 2014.

By Aaron Pugh | Oct. 13, 2014

Veridian Credit Union shares four rules for venture capital investment.

By CUSO Financial Services, L.P. | Oct. 6, 2014

A step-by-step process that will help any investment program — both start up and existing — achieve its growth goals.

With the Fed tapering its buying of assets, it will be interesting to see who comes in to support the market and at what levels. Credit unions will need to remain vigilant when managing the investment portfolio amid a back drop of new regulations and continued lower short term rates.

By CUSO Financial Services, L.P. | July 14, 2014

Tips on how to maintain a strong investment program on an ongoing basis after the dust settles.

By Kevin Heal | March 10, 2014

Credit union investments are shrinking, but they continue to make up a significant portion of the industry’s total assets.

By Andrew Bolton | March 10, 2014

Data shows how some credit unions are able to obtain a better investment return than others.

By Erik Payne | March 10, 2014

How the Virginia credit union re-arranged its investments to accommodate 34% loan growth.

Credit union investment officers have been purchasing callable agencies and mortgage-backed securities as part of their core investment portfolio for years.

IBM recently released a white paper on Liquidity Risk Management that explores both the root causes of the 2008 global liquidity crunch and best practices for financial institutions and other types of businesses moving forward.

Callahan’s Second Annual Investment Forum brings to light positive trends that should lead to a strong 2014 for the credit union industry.

By Erik Payne | Oct. 14, 2013

The Veridian Experience has guided the credit union for more than 30 years. It continues to guide the Iowa cooperative today.

By Sharon Simpson | Aug. 12, 2013

A Minnesota credit union relies on its board’s diversity and desire for education to enhance its performance.

By Mark Reed | July 22, 2013

An examination of the planned merger of Pioneer and Capital credit unions in Wisconsin.

Partner Perspective
Credit Unions And QE Infinity

How can cooperatives best manage through the quantitative easing fog?

By Parth Kapoor | May 2, 2013

Credit unions still hold over $386 billion in investments and must seek out ways to maximize yield without sacrificing flexibility.

Financial institutions who sought a higher yield during the historically low interest-rate environment could see longer-term bond prices dive when rates go up.

By Mark Reed | Feb. 8, 2013

By Jon Jeffreys | Feb. 8, 2013

The current debt in the U.S. causes many investors to take on more risk; is it worth it?

By Sean Hession | Feb. 7, 2013

Smaller credit unions historically relied on corporates. Are there steps a cooperative industry can take to aid these credit unions in their portfolio management?

By Andrew Bolton | Feb. 6, 2013

By Mike Philbin | Feb. 5, 2013

Some credit unions are finding that contrary to common experience, 15-year mortgages are lasting longer than 30s and, in certain markets, 30-year mortgages are the safer bet.

By Alix Patterson | Feb. 5, 2013

By Jeff Greenert | Feb. 4, 2013

Credit unions must balance aggressiveness in their investment strategy against their appetite for risk.

With interest rates at historically low levels, more investment managers are exploring ways to enhance the yield on the short-term component of their portfolios.

By ProfitStars | Feb. 4, 2013

An in-depth investment policy and portfolio review can reveal new options and clarify next steps for growing credit unions.

By Greg Gibson | Feb. 4, 2013

Northwest FCU shares the strategy behind its recent repositioning.

By Yun Ma | Feb. 4, 2013

Known for its strong investment portfolio, Langley is now shifting its resources to loans. Here’s why.

By Jay Johnson | Feb. 4, 2013

Callahan data shows the top quartile of credit unions by average investment return generate an average return of 1.92%, over six times the 31 basis point average return generated by the bottom quartile.

By Mark Reed | Feb. 4, 2013

By Alix Patterson | Jan. 24, 2013

Partner Perspective
Reduce Credit Risk

By United Guaranty Insurance | Nov. 26, 2012

Why the mortgage insurance industry is shifting away from a delegated model.

As institutional investors continue to search for yield and the country analyzes the latest election results, credit unions should consider the evolution of the fixed income landscape for additional insight.

As investment managers tackle the challenging low-rate environment, viable options for future investment needs should not be overlooked.

By Pete Snyder | July 9, 2012

Assess the benefits, features, and attributes of a retail investment program's structure to ensure you understand its function.

By Dwight Johnston | July 2, 2012

The European Union summit outcome offers no real game-changers.

By Dwight Johnston | July 2, 2012

The European Union summit outcome offers no real game-changers.

By Melissa Forsyth | June 7, 2012

Veridian Group, a subsidiary of Veridian Credit Union, aggressively investigates viable products.

By Melissa Forsyth | June 7, 2012

Veridian Group, a subsidiary of Veridian Credit Union, agressively investigates viable products.

Partner Perspective
Will Bernanke Keep His Promise?

These six signs could indicate an earlier-than-expected increase in interest rates.

By Mark Reed | April 16, 2012

Low interest rates have credit unions searching for new strategies for their money, resulting in significant shifts in the portfolio.

By Dwight Johnston | April 12, 2012

Is QE III a reality, and if so, how will it impact the bond market?

By Rebecca McClay | March 12, 2012

Georgetown University’s student-run credit union is cognizant of the duration of its investments and has developed strong cash positions.

By Rebecca Wessler | March 12, 2012

Veridian Credit Union In Waterloo, IA, explores different ways to invest its capital.

By Rebecca McClay | March 12, 2012

Georgetown University’s student-run credit union is cognizant of the duration of its investments and has developed strong cash positions.

By Dwight Johnston | Feb. 28, 2012

Credit unions grew profits and market share in last year’s low-rate environment.

Insight provided by fair valuation opens up new possibilities for balance sheet management, product pricing, and investment diversification.

Tracking total return provides multiple insights for ongoing asset and liability management and investment options.

By Jeff Greenert | Jan. 16, 2012

Jeff Greenert, senior portfolio manager at VyStar Credit Union, addresses the investment struggles some credit unions are facing.

By Randy Karnes | Nov. 21, 2011

Turn to a model of thinking that embraces consumer ownership and member’s economic participation.

By Michael Emancipator | Oct. 24, 2011

Co-ops are hoping to deepen services to their communities as more states allow municipal deposits, including recently New Jersey and Washington.

With the Fed’s Operation Twist bringing down yields on long-term bonds, consider actively managed duration products for your investment portfolio.

By | Sept. 26, 2011

Credit risk is increasing, real estate values are falling, and unemployment is rising. Can credit unions make more loans under tighter guidelines?

Partner Perspective
Cash When You Don’t Need It

Low interest rates and higher yielding agency securities that are maturing are leaving credit unions with surplus cash.

By Michael Emancipator | Sept. 6, 2011

Language is unclear in the law regulating credit unions investing in derivatives. Will NCUA’s new effort to revisit the rule help?

By Chip Filson | Aug. 25, 2011

Credit unions could use a dividend payment from the over-reserved share insurance fund to improve their balance sheets, make more loans, and help members in need.

By Rebecca McClay | Aug. 4, 2011

USE credit union saves more than $12K while proving credit unions can rank in the top tiers of energy efficiency.

Board education is essential for credit unions that want to enhance their short-term investment yield while maintaining liquidity.

By Callahan & Associates | April 1, 2011

One CUSO shows going after big sales numbers doesn't mean leaving members behind.

Credit union investment options are limited, so understanding and evaluating all of the tools available is vital.

By Jay Johnson | Feb. 7, 2011

Year-end data reveals how much, or how little, credit unions are participating in the NCUA Guaranteed Notes program.

By Thomas Cullen | Oct. 21, 2010

Despite tough economic realities, credit unions still value technology.

By Lydia Cole | Oct. 18, 2010

Credit unions are challenged to meet the service needs of existing investment clients as well as market to prospects.

By Callahan & Associates | Oct. 1, 2010

The 2010 Technology Survey indicates most credit unions are increasing their technology budgets depsite a challenging earnings environment and uncertainty around NCUA assessments.

By Chip Filson | July 1, 2010

Critics of the credit union charter say it's been struck a fatal blow by economic troubles. They're wrong.

By Michael Philbin | June 8, 2010

By Ryan Sherwin | April 27, 2010

Key factors to consider when evaluating bonds with early redemption features.

By Chris Tissue | April 1, 2010

This edition is brought to you straight from the corporate communities that use this holiday to have a little fun and show some personality. And from the letters C and U.

By Elliott Kashner | Feb. 22, 2010

Share growth has rapidly outpaced loans throughout 2009. Despite this mismatch, credit unions experienced some positive changes in their business model.

By Jon Jeffreys | Feb. 22, 2010

For many credit unions, most share growth occurs in the first quarter of the year. What will credit unions do with the money? Can they, or should they, turn it away?

By Nick Connors | Feb. 15, 2010

A higher profile for credit unions in 2009 drove growth in membership and share balances, giving credit unions ample liquidity headed into 2010.

By Lydia Cole | Feb. 1, 2010

Preliminary fourth quarter highlights shine a light on 2010 performance.

By Mike Philbin | Feb. 1, 2010

Considering notional versus marginal costs is vital for deposit pricing during a period of sustained low interest rates.

By Chip Filson | Jan. 25, 2010

So is the 2008 Report just missing in the Agency bureaucracy or is this a more serious situation? And why is this issue so important in the midst of multiple responsibilities? An allegorical Sherlock Holmes sets out to get the answers.

By Callahan & Associates | Dec. 14, 2009

The credit union investment portfolio has been a source of balance sheet growth in 2009, up 18.5 percent over the past year to $261.2 billion. Learn the composition of the industry’s portfolio and the opportunities available in 2010.

By Chris Tissue | Dec. 7, 2009

By Elliott Kashner | Nov. 23, 2009

Deborah Matz had called the monthly meeting of the NCUA board to consider several proposals including the highly anticipated release of the detailed corporate regulatory proposal. However, the full proposal is currently available on

By Callahan & Associates | Oct. 1, 2009

By Callahan & Associates | Oct. 1, 2009

Credit unions have the unique moment to remind the community of the strength of the cooperative system by increasing their involvement in the community.

By Mike Philbin | Sept. 28, 2009

The Federal Open Market Committee (FOMC) Statement released last Wednesday had no major surprises. As the Fed recognized improvement in economic conditions, there are two important phrases that could influence the way credit unions manage their investment portfolios.

By Nick Connors | Aug. 31, 2009

Credit unions set new records for loan volume and share growth for the first six months. Even ROA before NCUSIF expenses exceeds 2008 results. Investments total of $268 billion shows there is more capacity for loan growth. All the data is here now!

By Sharetec Systems, Inc. | Aug. 17, 2009

If your decisions are based on member-centric design, ease of use, efficiency and cost-justification, they will yield the correct results: keeping more money where it belongs – in your member's account.

By | Aug. 10, 2009

In today's market, having a true understanding of your organization's mortgage loan portfolio can be one of the keys to weathering the current turmoil.

By Denise Senecal | Aug. 3, 2009

As the economy continues to worsen, even credit unions in relatively better-faring parts of the country need to consider the potential financial management changes their members may be making.

By Chip Filson | July 20, 2009

We are about to make a $6 billion investment in the credit union system. Will it be merely for filling potholes in the corporates or can it be an investment to make a better credit union system for the 21st century?

By Callahan & Associates | July 1, 2009

Especially in these times, every credit union seeks new ways to further streamline their operations. Member Relationship Mamagement (MRM) can help every credit union become more efficient, while at the same time helping their front line staff in providing better service and improving cross-selling efforts. And who doesn't want these things?

Partner Perspective
Small Branch Strategies

By Bancography | June 29, 2009

Branch convenience is paramount to members; it is the predominant venue for new account sales.

By Brooke C. Stoddard | June 22, 2009

Watching for traps and taking advantage of opportunities: an interview with Hank Sigmon, CFO of First Tech Credit Union, Beaverton, Oregon

By | June 15, 2009

As NCUA's oversight of the corporate network continues from the January 28, 2009 original pronouncement of a systemic problem, the unfolding events are similar to a tragedy entering its third act.

By Jay Johnson | May 18, 2009

While other regulators look for alternative approaches to overcome current market dislocations, NCUA is choosing to pursue policies that have an immediate negative impact on credit unions. Why is our federal credit union regulator making decisions that hinder the industry's ability to continue serving members at a time when consumers need it most?

By Mike Philbin | May 11, 2009

The most recent economic forecasts, while not suggesting a robust turnaround for the economy, are forming a consensus: the period of contraction may be ending sometime this summer. In his own words, Bernanke's challenge now is “how to wind down the federal balance sheet and avoid inflation.”

By Alix Patterson | April 24, 2009

At year-end 7,728 or 97% of all credit unions have an investment in one or more Corporates. These credit unions represent 99.5% of all CU assets. These numbers demonstrate that the future architecture of the Corporate Network is about more than investments and settlement. The decisions made will affect every credit union's operations.

By Mike Philbin | April 20, 2009

There are factors suggesting the global economy could very well be headed into an inflationary period – and sooner than some might think.

By Callahan & Associates | April 20, 2009

By Tom Baldwin | April 13, 2009

A good capital postition helps; so does taking advantage of opportunities.

By Claire Dayrit | April 6, 2009

According to the NCUA webinar held on March 23, 2009, the revised NCUSIF loss reserve estimate increased from $4.7 billion to $5.9 billion. What does the revised estimate mean for Federally Insured Credit Unions?

By Denise Senecal | April 6, 2009

Facing continued financial pressures, how do credit unions decide which technology investments to keep and which to cut?

By Chip Filson | March 23, 2009

A follow-up interview with Chip Filson about events following NCUA’s conservatorship by CUtv’s Hunter Moss

By Chip Filson | March 23, 2009

When Ed Callahan went to NCUA in 1981, the Illinois Credit Union League presented him with a framed memento to hang in his DC Office. The sign read: “We don’t run credit unions.” This wisdom was forgotten when last Friday, NCUA put itself in charge of the two largest Corporates with total assets of over $60 billion through conservatorship.

By Chip Filson | March 23, 2009

The industry is deeply concerned about the numbers used in taking the decisions to conserve Wescorp and US Central. I would like to explain the basis for this concern. I have attempted to describe the situation in a way that a lay person, the press, or any other interested party might understand the implications from the conclusions you reached.

By Callahan & Associates | March 23, 2009

By Chip Filson | March 2, 2009

NCUA has provided the architecture to address the corporate network’s collective possible losses. Simultaneously it has set in motion at lease five processes to minimize those losses while maintaining full daily corporate activity and evaluating all future options.

By Sam Brownell | March 2, 2009

With branch investment growing, how are credit unions measuring the success of this important delivery channel? For many credit unions, both internal and external metrics are used to understand the success of branches.

By | Feb. 9, 2009

In 2009, we find that the markets, banks, consumers, and businesses have lined the paths to their doors with rose petals to welcome and hail the arrival of the all-powerful, all-knowing savior—the U.S. government. The government seems more than happy to oblige.

By Callahan & Associates | Jan. 1, 2009

3Q 2008: The Consolidated Credit Union Financial Statement, Peer Group Performance Comparison, Distribution of Assets and Institutions Across All Peer Groups, Asset Quality by Peer Group, The Average Credit Union $1B+ in Assets, The CUSP Financial Profile, Callahan's Credit Union Scorecard, 2008 Percentile Rankings for Peer Group and CUs between $250M-$500M in Assets, Credit Unions $1B Or More in Assets, Credit Unions $500M-$1B in Assets, Credit Unions $250M-$500M in Assets, Credit Unions $100M-$250M in Assets, Credit Unions $50M-$100M in Assets, Credit Unions $20M-$50M in Assets, Credit Unions $10M-$20M in Assets

By | Dec. 1, 2008

Be ahead of the curve. Be ready to cut loose assets with losses looming, and take active control of assets that should be kept to preserve principal. We explore these concepts in the following article.

By ALM First Financial Advisors | Nov. 10, 2008

A few months back, some market prognosticators ventured a guess that the worst of the market dislocation was behind us … a guess proven incorrect over the past days and weeks. For credit unions, there are several strategies and options worth considering to help weather today’s current economic storm.

By Callahan & Associates | Oct. 1, 2008

2Q 2008: The Consolidated Credit Union Financial Statement, Peer Group Performance Comparison, Distribution of Assets and Institutions Across all Peer Groups, 2008 Percentile Rankings for Cus Between $100M-$250M in Assets, Asset Quality by Peer Group

By Chip Filson | Oct. 1, 2008

Credit unions have 17% of branches but only 5.7% of assets.

By Callahan & Associates | July 1, 2008

Having a strategic plan for the upcoming financial scenarios is advantageous for credit unions who have the resources to weather the storm.

By Callahan & Associates | July 1, 2008

1Q 2008: Consolidated Credit Union Financial Statement, Financial Summary, Key Ratios, Peer Group Performance Comparison, Distribution of Assets & Institutions Across All Peer Groups, Asset Quality by Peer Group, Peer Group Consolidated Statement ($1B+), Peer Group Consolidated Statement ($50M-$1B)

By Callahan & Associates | July 1, 2008

How are credit unions budgeting and spending for technology in 2008 compared to last year?

By ALM First Financial Advisors | June 30, 2008

To reduce the interest-rate risk inherent in mortgage lending, be sure to evaluate the efficiencies of selling loans, leveraging or hedging.

By US Transnet | May 19, 2008

Breaking down the old credit union investment model and shedding light on a better way to view your portfolio.

By Ryan Sherwin | March 10, 2008

As a turbulent economy provides many worries for most financial institutions, credit unions have a unique opportunity.

By Jon Jeffreys | Feb. 25, 2008

In 2007, loans led the way in the credit union industry. What does this mean for balance sheet management?

By Lydia Cole | Feb. 18, 2008

Patelco Credit Union tracks referrals from front line staff to their investment program. Doing so has lead to increased wallet share.

By Lydia Cole | Jan. 28, 2008

The key consideration for credit unions and their investment programs is to add operational and service support in a fiscally responsible way to ensure that the credit union's key ratios continue to improve.

By Jay Johnson | Dec. 17, 2007

After holding the Federal Funds rate at 5.25 percent for more than a year, the Federal Reserve has now lowered the target rate by one percent in less than two months. Will the reduction in rates be a positive for credit unions?

By Pete Snyder | Oct. 1, 2007

Credit unions have a new opportunity to benchmark their Retail Investment Program performance and productivity.

By Nick Connors | Sept. 17, 2007

Credit Unions have a unique position as a balance sheet lender, this fact presents an opportunity to help members as the mortgage market struggles.

By Jon Jeffreys | Sept. 17, 2007

For many credit unions share inflows over the past 18-24 months have come from the increased member demand for share certificates...

By Corillian Corporation | June 25, 2007

Today’s credit union members expect to conduct business when they want, how they want and where they want—doing everything they can do inside their local branch quickly, easily, securely — and remotely.

By Alix Patterson | June 19, 2007

Read about four Savings Programs to watch.

By Jon Jeffreys | May 7, 2007

2006 saw ups and downs in the market. How did the top credit unions manage their investments in this changing marketplace?

By Jon Jeffreys | April 9, 2007

Affording credit unions the opportunity to reclassify balance sheet information, FASB 159 could provide a marginal boost to the bottom line.

By Landings Credit Union | April 2, 2007

With liquidity returning, now is the time to examine your liquidity strategy and prepare for the next crunch.

Partner Perspective
The Case for Callables

By | Feb. 12, 2007

Although recent indicators point toward a stronger economy than anticipated, positioning your portfolio for an interest rate decline in 2007 still makes sense.

By Debra Sondak | Aug. 14, 2006

Mortgage-backed securities can offer juicy yields, but require careful attention and selection to balance return and risk.

By Tom Geggel | July 24, 2006

While the average investment yield rose to 3.6 percent as of March 2006, credit unions should consider investing in mortgage-backed securities to generate even higher yields.

By Nick Connors | June 19, 2006

Corporate credit unions aren’t just riding out the shift in liquidity—they’ve grown market share in both investments and borrowing.

By Carly Spring | May 22, 2006

Conflicting data has left bond investors thoroughly uncertain about the FOMC’s next interest rate move.

By Carlene Pollock | May 15, 2006

Large and Small, Successful and Struggling Credit Unions Alike Have Experienced Measurable Success From Providing An Investment Services Program.

By Carly Spring | April 10, 2006

With less money in short-term investments, the increase in the target fed funds rate will have less effect on credit unions.

By Carly Spring | March 20, 2006

Corporate credit unions end the year with more of the natural-person credit unions' shrinking investment portfolio.

By Jon Jeffreys | March 13, 2006

Activist investors may be a thorn in the side of corporate America, but thinking like they do can focus credit union decisions about capital and investing.

By Carly Spring | Jan. 16, 2006

As of September 2005 natural person credit unions had 27.6 percent of their investments at corporate credit unions. It is interesting to note where corporate credit unions are investing the money they receive from the natural person system.

Playing to Win

By Mike Philbin | Jan. 9, 2006

Concentrate on defense and play conservatively? Get aggressive and air it out? In benchmarking and football, it is whether you win or lose and how you play the game.

By Carly Spring | Jan. 2, 2006

Recently released Third Quarter data indicates that corporate credit unions have seen an increase in credit union investment portfolios.

By Mike Philbin | Nov. 7, 2005

A multi-faceted benchmarking process can help credit unions extract more value from their investment portfolios

By Mike Philbin | Oct. 17, 2005

Investment portfolio benchmarks can provide insight into return, risk, and value added – but the insight is only as good as the benchmark itself.

By Jon Jeffreys | Sept. 19, 2005

The credit union business model is not static; neither is the balance sheet.  As the balance sheet changes credit unions may need to assess the functionality of their ALM solution. 

By Carly Spring | June 20, 2005

Credit unions are increasingly turning to corporate credit unions as a place to invest excess liquidity.

By Mike Philbin | Jan. 31, 2005

The intermediate part of the yield curve has seen very little movement in the past year. The challenge for credit unions is forecasting this part of the curve in their ALM process.

By Emily M Hollis, CFA | Dec. 6, 2004

Emily Hollis, ALM expert, explains asset/liability management (ALM) risk measurement tables and where you can find them.

By | Dec. 6, 2004

Are you correctly positioned for rising short-term interest rates? One positioning strategy is to divert some investments into term floating rate investments.

By Mike Philbin | Nov. 29, 2004

A re-examination of existing asset/liability management (ALM) and investment guidelines can help credit unions adapt their current policies to reflect past and project future performance.

By Rick Wieczorek | Nov. 22, 2004

In a rising rate environment, the market value on fixed rate securities can depreciate quickly. Learn how to best utilize the variable rate security market to enhance and protect portfolio performance.

By Mike Philbin | Oct. 11, 2004

The challenge of creating an asset/liability management report is developing a format which can accurately and clearly communicate results.

By | Sept. 6, 2004

With short-term interest rates on the rise, credit unions should examine their current investment strategies. Read about what issues to address and alternatives to consider when revising strategic investment plans.

By Tom Geggel | July 19, 2004

Amid a rising rate environment, now might be a good time for credit unions to take a step back and re-evaluate their ALM models, which are only as valuable as the accuracy of the underlying assumptions.

By Mike Philbin | April 12, 2004

Owning fixed-rate bonds in a rising interest rate environment can be a hard pill to swallow for a credit union’s ALM Committee. In a rapidly rising rate environment the market value on fixed rate securities can depreciate pretty quickly, and the bond markets are not a forgiving place for investors who find themselves “long and wrong.” If these securities need to be sold prior to maturity then from a total return standpoint the credit union will have to recognize a loss in their financial statements.

By Joe James | March 15, 2004

Quarterly Return on Assets for credit unions dropped 10 basis points in the 4th quarter to 0.90%. However, this drop would’ve been much greater had it not been for credit unions’ strong performance in service income.

By Joe James | Feb. 23, 2004

For the second consecutive quarter, it seems that credit unions had a steep drop in investments. Of the 871 credit unions participating in Callahan's First Look program, their total investments dropped to $67.7 billion in the 4th quarter from $69.5 billion in the 3rd quarter. Investment growth continued its slide among these credit unions as it dropped 2.66% from last quarter down to 8.60% for the year.

By Dave Weiss | Jan. 19, 2004

NCUA's implementation of RegFlex on March 1, 2002 relieved many credit unions of excessive regulatory burdens and facilitated their investment in instruments such as commercial mortgage-backed securities (CMBS) that previously had been prohibited. CMBS are structures collateralized by loans that are secured by five major commercial property types: office space, retail property, industrial facilities, multifamily housing, and hotels.

By Joe James | Jan. 5, 2004

After growing $64 billion in the previous 18 months, credit union investments actually declined in the 3rd Quarter, falling $6.4 billion to $216 billion. A number of factors contributed to this steep decline. First of all, credit union loan growth accelerated rapidly over the 3rd Quarter. A strong increase in mortgage loans and used auto loans led to an increase of $13.5 billion in new loans. At the same time, share growth was minimal at 1% for the quarter. With a lack of share inflow to fund these increasing loan balances, credit unions were forced to decrease their short-term investment holdings by $7.1 billion. Given these trends, credit unions should see an increase in interest income since they yield on average 6.9% on loans compared to 2.7% on investments.

By Joe James | Dec. 8, 2003

Credit unions experienced an influx of mortgage loans throughout the first part of this year thanks in part to record-low rates.  With all of these loans on their books, many credit unions have been looking for ways to mitigate risk and improve returns in case interest rates begin to rise.  For this, Asset/Liability Management (ALM) becomes fundamental.

By Carol Anne Burger | Nov. 3, 2003

It's become increasingly obvious that unless loan demand makes a sudden comeback that credit unions should have started making better investment choices because share growth (at 11.8%) has consistently outpaced loan growth (at 7.0%) for the past two years. And while some credit unions have done so quite effectively, others are left wondering, 'where is the yield?'

By John Marron | Oct. 20, 2003

Over the past 18 months, credit union investments have increased over $64 billion to a total of $223 billion. In comparison, the industry had grown total investments by only $45 billion over the nine years prior.

By Callahan & Associates | July 7, 2003

When debating the potential impact of the Internet five years ago, the two polar positions were: It's just another channel versus The revolution will put the traditional financial service firm out of business.

By John Marron | July 7, 2003

Strong share growth coupled with paltry loan growth led to a $27 billion boost in credit union investments in the first quarter of 2003. The corporate system took in half of these new investments, pushing total shares for all corporates to $74.1 billion, excluding U.S. Central. Take a look at the growth of total corporate shares over the last three years and check out an example of the new breakdown of investments in corporates revealed by the latest call report data.

By John Marron | May 12, 2003

With interest rates low and economic uncertainty high, shares continue to pour into credit unions in the 1st quarter of 2003. The preliminary data, from First Look credit unions representing approximately 31% of the industry's assets, show shares growing 5.2% and investments jumping 13.2% in the first quarter alone.

By Bill Mertka | Feb. 24, 2003

The physical branch remains an important sales and service channel for credit unions, despite the development of electronic means like ATMs and Internet home banking. Branches are still the prime source of loan originations, a crucial factor in evaluating overall credit union performance. They also play an important role in building relationships with current members and attracting new ones - especially critical for credit unions with community field of membership.

By Hua Sue | Feb. 24, 2003

November 2002 corporate data continues to indicate that liquidity in credit unions is leading to growth in corporate credit unions. Corporate assets excluding U.S. Central reached $72.3 billion in November, an increase of $2.6 billion over October, and total investments rose to $68.9 billion, an increase of $5.8 billion. Over the past 12 months corporate credit unions' investment composition has shown a slight shift from daily shares in U.S. Central to privately issued mortgage issues, which have increased from 5.5% to 8.3% since November 2001.

By John Marron | Dec. 23, 2002

Corporate credit union shares reached $60.9 billion in the third quarter, up an amazing 17.4% YTD. So far this year, credit union investments have increased 16.3% to $185.7 billion, and corporate credit unions have successfully kept up with this record growth, holding a 32.8% market share of credit union investments.

By Amy Liesenfeld | Nov. 25, 2002

Preliminary third quarter data gathered from the First Look program shows that despite widespread prediction that interest rates were not expected to rise (rates in fact dropped .50 basis points six weeks after the quarter ended), most credit unions were hesitant to invest in longer-term maturities this past quarter. In fact, the data shows that credit unions took a slightly more risk-averse approach to investment structure than in the second quarter. Current data indicates that investments with a maturity of 3 years or more make up 11.5% of 3rd-quarter industry investments, whereas the same, longer-term investments made up 13% of total investments at June 2002.

By Amy Liesenfeld | Oct. 7, 2002

With loans unable to keep up with share growth, investments experienced the fastest increase of any major balance sheet component at 23.3%. The total credit union investment portfolio excluding cash reached $184.6 billion at June 30, 2002, an increase of $34.9 billion versus one year earlier. Agency securities continue to account for the largest portion of the portfolio at 45.7%.

By Casey Connelly | Sept. 23, 2002

The massive share growth credit unions have experienced has been well documented over the last year. With loans growing at a much less hectic pace, it's no wonder that the industry loan to share ratio has dipped eight percentage points from the peak 18 months ago. Ironically, even with this influx of shares credit unions have increased total borrowings 52% over the last twelve months. Why would credit unions, which seemingly have more money than they can lend out, need to borrow more funds?

By Callahan & Associates | Aug. 5, 2002

Investment and insurance services, two key non-traditional products emerging in credit unions today, can help credit unions achieve a variety of new revenue goals and member service needs. Find out why one credit union has instead turned to a new and more flexible solution for its investment and insurance program.

By Jay Johnson | April 29, 2002

The volatile stock market is encouraging more credit union members to turn to investment professionals for help. Learn how credit unions are successfully responding.

By Jeff Lanzen | Feb. 25, 2002

Total credit union investments jumped almost 17.3% in the 12 months ended June 30, 2001 to total over $149.7 billion. The primary factor was the dramatic increase in savings accounts accompanied by the slowdown in consumer lending.

By Carol Anne Burger | July 9, 2001

The transfer of wealth from the Greatest Generation to their Baby Boom heirs has already begun, noted Tim Kenczewicz, president of the newly-formed Members Trust Company of Colorado, even as those inheritors grapple with how to pass on the accumulated assets of two generations to their own children.

By Chip Filson | March 26, 2001

Credit unions throughout the country continued to add investment services at a brisk pace last year despite the cooling of the economy.

By Callahan & Associates | April 1, 1999

In 1987, US Alliance Federal Credit Union's Board of Directors authorized the formation of a CUSO for purposes of buying and selling securities for its members. Concurrently, they hired me as the person to implement the process. Starting from scratch in the summer of 1987, a corporation was formed pursuant to the CUSO Regs in effect at that time. We also approached the National Association of Securities Dealers (NASD) and began the process of qualifying the newly formed a Broker-Dealer corpor

By Callahan & Associates | July 1, 1998

Agency securities, debt issued by U.S. Government Agencies, have many characteristics that appeal to investors. Because they are guaranteed by a U.S. Government Agency, these securities are rated AAA by the rating services. Agency Securities trade at a spread above U.S. Treasuries of a comparable maturity. In addition, Agencies such as FNMA, are now selling large new issues every month. This provides great liquidity for these bonds. Finally, in addition to bullet maturities, many different structures are available to meet investors' specific requirements.

By Callahan & Associates | July 1, 1997

The Federal Credit Union Act charges a credit union's board of directors with responsibility for the credit union's investments and permits the board to delegate this authority to an investment committee. However, the draft of the new Rule 703 covering investments for natural person credit unions, appeared to require the board to have a thorough knowledge and more direct involvement in investment decisions. This was the intent attributed to phrases in the proposal such as "consistent with NCUA's intent to place more responsibility with credit union boards ..." and requiring that "board of directors fully understand the potential risk characteristics of its investment options." This wording prompted concern among credit union staff and boards. How much knowledge did directors need? Would volunteer directors have to follow the markets daily and master the lingo of bond traders?