July 2024 Share Insurance Fund Financial Highlights

MANAGEMENT OVERVIEW

July 31, 2024

Balance Sheets

Receivables from Asset Management Estates, Net is $68.9 million; it is comprised of natural person credit unions and corporate credit unions.

Insurance and Guarantee Program Liabilities related to Reserves are $212.0 million; $10.1 million is for specific reserves for natural person credit unions, and $201.9 million is for general reserves.

Statements of Net Cost

For the month ended July 31, 2024, the fund had a net income of $28.9 million. The fund recognized gross revenues of $49.0 million and total operating expenses of $20.1 million. The fund did not recognize any insurance loss expense during the month of July 2024.

BALANCE SHEETS

As of July 31, 2024 and 2023 (Dollars in Thousands)

ASSETS

INTRAGOVERNMENTAL ASSETS	July 2024	July 2023
Fund Balance with Treasury	$25,840	$28,485
Investments, Net - U.S. Treasury Securities	21,555,967	20,301,756
Accrued Interest Receivable - Investments	114,957	135,154
Accounts Receivable - Due from the NCUA Operating Fund	1,725	1,376
Advances and Prepayments	15,823	15,171
Total Intragovernmental Assets	21,714,312	20,481,942

WITH THE PUBLIC ASSETS	July 2024	July 2023
Advances and Prepayments	1,186	868
Receivables from Asset Management Estates (AMEs), Net*	68,869	70,713
Total with the Public Assets	70,055	71,581
TOTAL ASSETS	$21,784,367	$20,553,523

LIABILITIES

INTRAGOVERNMENTAL LIABILITIES	July 2024	July 2023
Accounts Payable - Due to the NCUA Operating Fund	45	-
Total Intragovernmental Liabilities	45	-

WITH THE PUBLIC LIABILITIES	July 2024	July 2023
Accounts Payable	2,938	2,395
Insurance and Guarantee Program Liabilities*	211,987	204,059
Other Liabilities	224	241
Total with the Public Liabilities	215,149	206,695
TOTAL LIABILITIES	$215,194	$206,695

NET POSITION	July 2024	July 2023
Cumulative Results of Operations	4,351,648	3,487,456
Contributed Capital	17,217,525	16,859,372
Total Net Position	21,569,173	20,346,828
TOTAL LIABILITIES AND NET POSITION	$21,784,367	$20,553,523

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

STATEMENTS OF NET COST

For the periods ended July 31, 2024 and 2023 (Dollars in Thousands)

GROSS COSTS	July 2024	Year-to-Date July 2024	Year-to-Date July 2023
Operating Expenses*	$20,115	$140,247	$133,906
Provision for Insurance Losses
Reserve Expense (Reduction)	-	1,978	20,002
AME Receivable Bad Debt Expense	-	(2,650)	(21,778)
Total Provision for Insurance Losses	-	(672)	(1,776)
Other Losses	-	-	9
Total Gross Costs	20,115	139,575	132,139

LESS EXCHANGE REVENUES	July 2024	Year-to-Date July 2024	Year-to-Date July 2023
Other Revenue	(138)	(439)	(135)
Total Exchange Revenues	(138)	(439)	(135)
TOTAL NET COST/(INCOME) OF OPERATIONS	19,977	139,136	132,004

LESS NON-EXCHANGE REVENUES	July 2024	Year-to-Date July 2024	Year-to-Date July 2023
Interest Revenue - Investments	(48,873)	(322,323)	(228,838)
Total Non-Exchange Revenues	(48,873)	(322,323)	(228,838)
TOTAL NET COST/(INCOME) INCLUDING NON-EXCHANGE REVENUES	$(28,896)	$(183,187)	$(96,834)

* 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 July 31, 2024 and 2023 (Dollars in Thousands)

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

Non-Exchange Revenue	July 2024	July 2023
Interest Revenue - Investments	322,323	228,838
Net Unrealized Gain/(Loss) - Investments	201,774	131,624
Net Income /(Cost) of Operations	(139,136)	(132,004)
Change in Cumulative Results of Operations	384,961	228,458
CUMULATIVE RESULTS OF OPERATIONS	4,351,648	3,487,456

CONTRIBUTED CAPITAL	July 2024	July 2023
Beginning Balances	$17,234,861	$16,916,436
Change in Contributed Capital	(17,336)	(57,064)
CONTRIBUTED CAPITAL	17,217,525	16,859,372
NET POSITION	$21,569,173	$20,346,828

NET POSITION BREAKDOWN	July 2024	July 2023
Credit Union Contributed Capital	$17,217,525	$16,859,372
Retained Earnings	5,317,172	5,021,106
Total Net Position Without Unrealized Gain/ (Loss)	22,534,697	21,880,478
Unrealized Gain/ (Loss) - Investments	(965,524)	(1,533,650)
NET POSITION	$21,569,173	$20,346,828

Gross Income
July 2023 - July 2024

The first chart, titled “Gross Income,” shows monthly income figures ranging from approximately $36.7 million in July 2023 to $49.0 million in July 2024, displaying a generally increasing trend.

Operating Expenses
July 2023 - July 2024

The second chart, “Operating Expenses”, presents monthly expenses from around $18.9 million in July 2023, increasing to $23.5 million in December 2023, and then dropping to $20.1 million in July 2024.

Insurance Loss Expense (Reduction)
July 2023 - July 2024

The third chart, “Insurance Loss Expense (Reduction)” from July 2023 to July 2024, shows mostly zero values except for, -$4.8 million, -$5.7 million, $5.9 million, and -$7.1 million in June 2023, September 2023, December 2023, March 2024, and June 2024 respectively.

INVESTMENT PORTFOLIO ACTIVITY

July 31, 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	$5,671,037,000	5,671,037,000	-	100.00%	5.38%
U.S. Treasury Notes	16,850,454,640	15,884,930,199	(965,524,441)	94.27%	1.59%
Total	$22,521,491,640	$21,555,967,199	$(965,524,441)	95.71%	2.55%

II. INVESTMENT PORTFOLIO SUMMARY	Last Month	Current Month	CY To Date
Investment Yield	2.54%	2.55%	2.46%
Investment Income	$47,174,615	$48,872,760	$322,322,674
Weighted Avg. Maturity in Days / (Years)	836 (2.28)	812 (2.22)	-

III. MONTHLY ACTIVITY FOR T-NOTES

Purchased	Amount	Maturity	Yield
None	-	-	-

Maturity	Amount	Purchased	Yield
None	-	-	-

IV. MATURITY SCHEDULE (par value in millions)

TOTAL PAR VALUE - $ 22,521

TOTAL UNREALIZED GAIN/(LOSS) - $ (966)

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 $5,671 million, with other categories showing balances ranging from $850 to $2,800 million. The “6yrs-7yr” category has the lowest balance at $850 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 -$291 million. The most significant unrealized loss is in the “3yr-4yr” time frame at -$291 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.