September 2024 Share Insurance Fund Financial Highlights

MANAGEMENT OVERVIEW

September 30, 2024

Balance Sheets

Receivables from Asset Management Estates, Net is $78.1 million; it is comprised of natural person credit unions and corporate credit unions.

Insurance and Guarantee Program Liabilities related to Reserves are $231.8 million; $8.0 million is for specific reserves for natural person credit unions, and $223.8 million is for general reserves.

Statements of Net Cost

For the month ended September 30, 2024, the fund had a net income of $13.4 million. The fund recognized gross revenues of $47.1 million and total operating expenses of $22.5 million. The fund recognized an insurance loss expense of $11.2 million during the month of September 2024.

BALANCE SHEETS

As of September 30, 2024 and 2023 (Dollars in Thousands)

ASSETS

INTRAGOVERNMENTAL ASSETS	September 2024	September 2023
Fund Balance with Treasury	$26,263	$25,864
Investments, Net - U.S. Treasury Securities	21,906,859	20,302,835
Accrued Interest Receivable - Investments	89,954	102,743
Accounts Receivable - Due from the NCUA Operating Fund	1,108	1,170
Advances and Prepayments	14,851	14,736
Total Intragovernmental Assets	22,039,035	20,447,348

WITH THE PUBLIC ASSETS	September 2024	September 2023
Accounts Receivable - Due from Insured Credit Unions, Net	452,956	475,547
Advances and Prepayments	1,742	1,309
Receivables from Asset Management Estates (AMEs), Net*	78,091	71,675
Total with the Public Assets	532,789	548,531
TOTAL ASSETS	$22,571,824	$20,995,879

LIABILITIES

INTRAGOVERNMENTAL LIABILITIES	September 2024	September 2023
Accounts Payable - Due to the NCUA Operating Fund	-	36
Total Intragovernmental Liabilities	-	36

WITH THE PUBLIC LIABILITIES	September 2024	September 2023
Accounts Payable	92,819	125,595
Insurance and Guarantee Program Liabilities*	231,759	214,340
Other Liabilities	227	140
Total with the Public Liabilities	324,805	340,075
TOTAL LIABILITIES	$324,805	$340,111

NET POSITION	September 2024	September 2023
Cumulative Results of Operations	4,658,946	3,430,091
Contributed Capital	17,588,073	17,225,677
Total Net Position	22,247,019	20,655,768
TOTAL LIABILITIES AND NET POSITION	$22,571,824	$20,995,879

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

STATEMENTS OF NET COST

For the periods ended September 30, 2024 and 2023 (Dollars in Thousands)

GROSS COSTS	September 2024	Year-to-Date September 2024	Year-to-Date September 2023
Operating Expenses*	$22,522	$182,520	$174,164
Provision for Insurance Losses
Reserve Expense (Reduction)	21,726	23,690	29,677
AME Receivable Bad Debt Expense	(10,492)	(13,143)	(36,211)
Total Provision for Insurance Losses	11,234	10,547	(6,534)
Other Losses	-	-	9
Total Gross Costs	33,756	193,067	167,639

LESS EXCHANGE REVENUES	September 2024	Year-to-Date September 2024	Year-to-Date September 2023
Other Revenue	(40)	(486)	(193)
Total Exchange Revenues	(40)	(486)	(193)
TOTAL NET COST/(INCOME) OF OPERATIONS	33,716	192,581	167,446

LESS NON-EXCHANGE REVENUES	September 2024	Year-to-Date September 2024	Year-to-Date September 2023
Interest Revenue - Investments	(47,114)	(419,099)	(305,461)
Total Non-Exchange Revenues	(47,114)	(419,099)	(305,461)
TOTAL NET COST/(INCOME) INCLUDING NON-EXCHANGE REVENUES	$(13,398)	$(226,518)	$(138,015)

* 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 September 30, 2024 and 2023 (Dollars in Thousands)

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

Non-Exchange Revenue	September 2024	September 2023
Interest Revenue - Investments	419,099	305,461
Net Unrealized Gain/(Loss) - Investments	465,741	33,078
Net Income /(Cost) of Operations	(192,581)	(167,446)
Change in Cumulative Results of Operations	692,259	171,093
CUMULATIVE RESULTS OF OPERATIONS	4,658,946	3,430,091

CONTRIBUTED CAPITAL	September 2024	September 2023
Beginning Balances	$17,234,861	$16,916,436
Change in Contributed Capital	353,212	309,241
CONTRIBUTED CAPITAL	17,588,073	17,225,677
NET POSITION	$22,247,019	$20,655,768

NET POSITION BREAKDOWN	September 2024	September 2023
Credit Union Contributed Capital	$17,588,073	$17,225,677
Retained Earnings	5,360,504	5,062,288
Total Net Position Without Unrealized Gain/ (Loss)	22,948,577	22,287,965
Unrealized Gain/ (Loss) - Investments	(701,558)	(1,632,197)
NET POSITION	$22,247,019	$20,655,768

Gross Income
September 2023 - September 2024

The first chart, titled “Gross Income,” shows monthly income figures ranging from approximately $38.3 million in September 2023 to $47.1 million in September 2024, displaying a generally increasing trend.

Operating Expenses
September 2023 - September 2024

The second chart, “Operating Expenses”, presents monthly expenses from around $21.0 million in September 2023, increasing to $23.5 million in December 2023, and then dropping to $22.5 million in September 2024.

Insurance Loss Expense (Reduction)
September 2023 - September 2024

The third chart, “Insurance Loss Expense (Reduction)” from September 2023 to September 2024, shows mostly zero values except for, -$4.8 million, -$5.7 million, $5.9 million, -$7.1, and $11.2 million in September 2023, December 2023, March 2024, and June 2024, and September 2024 respectively.

INVESTMENT PORTFOLIO ACTIVITY

September 30, 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	$5,531,365,000	5,531,365,000	-	100.00%	4.79%
U.S. Treasury Notes	17,077,052,571	16,375,494,455	(701,558,116)	95.89%	1.74%
Total	$22,608,417,571	$21,906,859,455	$(701,558,116)	96.90%	2.48%

II. INVESTMENT PORTFOLIO SUMMARY	Last Month	Current Month	CY To Date
Investment Yield	2.60%	2.48%	2.48%
Investment Income	$49,662,317	$47,114,000	$419,098,991
Weighted Avg. Maturity in Days / (Years)	895 (2.45)	872 (2.38)	-

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 - $ 22,782

TOTAL UNREALIZED GAIN/(LOSS) - $ (702)

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 $5,531 million, with other categories showing balances ranging from $1,350 to $2,800 million. The “1m-6m” category has the lowest balance at $1,350 million.

The lower chart, titled “Unrealized Gain/(Loss) (Millions)”, corresponds to the same time frame as the upper chart. It shows values ranging from $20 million to -$246 million. The most significant unrealized loss is in the “3yr-4yr” time frame at -$246 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.