February 2024 Share Insurance Fund Financial Highlights

MANAGEMENT OVERVIEW

February 29, 2024

Balance Sheets

Receivables from Asset Management Estates, Net is $69.8 million; it is comprised of natural person credit unions and corporate credit unions.

Insurance and Guarantee Program Liabilities related to Reserves are $209.0 million; $6.9 million is for specific reserves for natural person credit unions, and $202.1 million is for general reserves.

Statements of Net Cost

For the month ended February 29, 2024, the fund had a net income of $24.2 million. The fund recognized gross revenues of $42.6 million and total operating expenses of $18.4 million. The fund recognized an insurance loss reduction of $2.0 thousand during the month of February 2024.

BALANCE SHEETS

As of February 29, 2024 and February 28, 2023 (Dollars in Thousands)

ASSETS

INTRAGOVERNMENTAL ASSETS	February 2024	February 2023
Fund Balance with Treasury	$26,836	$25,028
Investments, Net - U.S. Treasury Securities	21,174,492	20,167,126
Accrued Interest Receivable - Investments	63,017	72,221
Accounts Receivable - Due from the NCUA Operating Fund	4,200	3,468
Advances and Prepayments	15,693	13,202
Total Intragovernmental Assets	21,284,238	20,281,045

WITH THE PUBLIC ASSETS	February 2024	February 2023
Advances and Prepayments	1,076	1,218
Receivables from Asset Management Estates (AMEs), Net*	69,761	71,838
Total with the Public Assets	70,837	73,056
TOTAL ASSETS	$21,355,075	$20,354,101

LIABILITIES

INTRAGOVERNMENTAL LIABILITIES	February 2024	February 2023
Accounts Payable - Due to the NCUA Operating Fund	-	-
Total Intragovernmental Liabilities	-	-

WITH THE PUBLIC LIABILITIES	February 2024	February 2023
Accounts Payable	2,308	2,362
Insurance and Guarantee Program Liabilities*	208,999	185,228
Other Liabilities	443	384
Total with the Public Liabilities	211,750	187,974
TOTAL LIABILITIES	$211,750	$187,974

NET POSITION	February 2024	February 2023
Cumulative Results of Operations	3,907,978	3,243,331
Contributed Capital	17,235,347	16,922,796
Total Net Position	21,143,325	20,166,127
TOTAL LIABILITIES AND NET POSITION	$21,355,075	$20,354,101

* Receivable from AMEs, Net and Insurance and Guarantee Program Liabilities lines are generally updated quarterly.

STATEMENTS OF NET COST

For the periods ended February 29, 2024 and February 28, 2023 (Dollars in Thousands)

GROSS COSTS	February 2024	Year-to-Date February 2024	Year-to-Date February 2023
Operating Expenses*	$18,386	$38,661	$35,437
Provision for Insurance Losses
Reserve Expense (Reduction)	(2)	(8)	-
AME Receivable Bad Debt Expense	-	-	-
Total Provision for Insurance Losses	(2)	(8)	-
Other Losses	-	-	9
Total Gross Costs	18,384	38,653	35,446

LESS EXCHANGE REVENUES	February 2024	Year-to-Date February 2024	Year-to-Date February 2023
Other Revenue	-	(62)	(80)
Total Exchange Revenues	-	(62)	(80)
TOTAL NET COST/(INCOME) OF OPERATIONS	18,384	38,591	35,366

LESS NON-EXCHANGE REVENUES	February 2024	Year-to-Date February 2024	Year-to-Date February 2023
Interest Revenue - Investments	(42,603)	(86,992)	(58,502)
Total Non-Exchange Revenues	(42,603)	(86,992)	(58,502)
TOTAL NET COST/(INCOME) INCLUDING NON-EXCHANGE REVENUES	$(24,219)	$(48,401)	$(23,136)

* National Credit Union Share Insurance Fund operating expenses are an allocation of total NCUA operating expenses, as determined by the overhead transfer rate set by the Board.

STATEMENTS OF CHANGES IN NET POSITION

For the periods ended February 29, 2024 and 2023 (Dollars in Thousands)

CUMULATIVE RESULTS OF OPERATIONS	February 2024	February 2023
Beginning Balances	$3,966,687	$3,258,998

Non-Exchange Revenue	January 2024	January 2023
Interest Revenue - Investments	86,992	58,502
Net Unrealized Gain/(Loss) - Investments	(107,110)	(38,803)
Net Income /(Cost) of Operations	(38,591)	(35,366)
Change in Cumulative Results of Operations	(58,709)	(15,667)
CUMULATIVE RESULTS OF OPERATIONS	3,907,978	3,243,331

CONTRIBUTED CAPITAL	February 2024	February 2023
Beginning Balances	$17,234,861	$16,916,436
Change in Contributed Capital	486	6,360
CONTRIBUTED CAPITAL	17,235,347	16,922,796
NET POSITION	$21,143,325	$20,166,127

NET POSITION BREAKDOWN	February 2024	February 2023
Credit Union Contributed Capital	$17,235,347	$16,922,796
Retained Earnings	5,182,387	4,947,409
Total Net Position Without Unrealized Gain/ (Loss)	22,417,734	21,870,205
Unrealized Gain/ (Loss) - Investments	(1,274,409)	(1,704,078)
NET POSITION	$21,143,325	$20,166,127

Gross Income
February 2023 - February 2024

The first chart, titled “Gross Income,” shows monthly income figures ranging from approximately $28.5 million in February 2023 to $42.6 million in February 2024, displaying a generally increasing trend.

Operating Expenses
February 2023 - February 2024

The second chart, “Operating Expenses,” presents monthly expenses from around $17.0 million in February 2023, increasing to $23.5 million in December 2023, and then dropping to $18.4 million in February 2024.

Insurance Loss Expense (Reduction)
February 2023 - February 2024

The third chart, “Insurance loss Expense (Reduction)” from February 2023 to February 2024, shows mostly zero values except for -$8.2 million, $6.4 million, -$4.8 million and -$5.7 million in March, June, September, and December 2023, respectively.

INVESTMENT PORTFOLIO ACTIVITY

February 29, 2024

I. INVESTMENT PORTFOLIO BALANCE AND MARKET VALUE (In Dollars)	Book Value	Market Value	Unrealized Gain or (Loss)	% Market to Book Value	Weighted Average Yield
Daily Treasury Account	$5,608,379,000	5,608,379,000	-	100.00%	5.40%
U.S. Treasury Notes	16,840,521,465	15,566,112,882	(1,274,408,583)	92.43%	1.44%
Total	$22,448,900,465	$21,174,491,882	$(1,274,408,583)	94.32%	2.43%

II. INVESTMENT PORTFOLIO SUMMARY	Last Month	Current Month	CY To Date
Investment Yield	2.32%	2.43%	2.37%
Investment Income	$44,388,514	$42,603,491	$86,992,005
Weighted Avg. Maturity in Days / (Years)	823 (2.25)	835 (2.28)	-

III. MONTHLY ACTIVITY FOR T-NOTES

Purchased	Amount	Maturity	Yield
2/15/2024	$400,000,000	5/15/2030	4.26%

Maturity	Amount	Purchased	Yield
2/15/2024	$650,000,000	various	0.20% to 2.26%

IV. MATURITY SCHEDULE (par value in millions)

TOTAL PAR VALUE - $ 22,209

TOTAL UNREALIZED GAIN/(LOSS) - $ (1,274)

The upper chart is titled “Maturity Investment Balance (Millions)” and depicts investment balances across different time frames: Overnight, 1m-6m, 6m-yr, 1yr-2yrs, 2yrs-3yr, 3yr-4yr, 4yr-5yr, 5yr-6yrs, and 6yr-7yrs. The largest balance is in the Overnight” category at $5,608 million, with other categories showing balances ranging from $1,350 to $2,800 million. The “6yrs-7yr” category has the lowest balance at $401 million.

The lower chart, titled “Unrealized Gain/(Loss) (Millions),” corresponds to the same time frame as the upper chart. It shows values ranging from $0 to -$347 million. The most significant unrealized loss is in the $3yr-4yr” time frame at -$347 million, and there’s no unrealized gain or loss for the “Overnight” category.

The balances in the statement above are preliminary and unaudited.

The information provided in the portfolio summary above is preliminary and unaudited.