Board Action Bulletin
NCUA Board Briefed on Share Insurance Fund’s First Quarter Performance
ALEXANDRIA, Va. (May 22, 2024) – The National Credit Union Administration Board held its fourth open meeting of 2024 and received a briefing by the Deputy Chief Financial Officer on the performance of the National Credit Union Share Insurance Fund and its projected equity ratio.
The Share Insurance Fund reported a net income of $68.1 million and a net position of $21.6 billion for the first quarter of 2024. The fund’s total assets increased to $21.6 billion at the end of the quarter from $21.0 billion at the end of the fourth quarter of 2023. At the end of the first quarter of 2024, there were no credit union failures.
The quarterly report included an equity ratio projection. For June 30, 2024, NCUA staff projects the equity ratio for the Share Insurance Fund to be 1.24 percent.
Said Vice Chairman Kyle S. Hauptman, “So why is the Share Insurance Fund ratio falling? As my colleague so ably explained, much of that downward move is due to projected growth of five percent in insured shares.”
Said Board Member Tanya F. Otsuka, “I am encouraged by the strong performance of the Share Insurance Fund. We continue to see a trend of fewer failing credit unions combined with higher yields, which have resulted in substantial net income for the Fund.”
Additionally, for the first quarter of 2024:
- The number of composite CAMELS code 3 credit unions decreased from 776 to 760 at the end of the fourth quarter of 2023. Assets for these credit unions increased from the fourth quarter of 2023 to $176.9 billion from $160.2 billion.
- The number of composite CAMELS codes 4 and 5 credit unions remained the same at 125 from the fourth quarter of 2023. Assets for these credit unions from the fourth quarter of 2023 increased to $7.0 billion from $5.5 billion.
The first quarter figures are preliminary and unaudited. Additional information on the performance of the Share Insurance Fund is available on the NCUA’s website.
June Board Meeting Canceled
The NCUA Board will not meet in June. The next NCUA Board meeting will take place on July 18, 2024.
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