NCUA Vice Chairman Kyle S. Hauptman Statement on the Board Briefing, Share Insurance Fund Quarterly Report

As Prepared for Delivery on November 18, 2021

Thank you, Eugene, and staff.

Today’s report is good news on a variety of fronts and reflects the hard work of both NCUA staff and credit unions. Net income is up, losses are down, the equity ratio continues to improve, and the fund is growing. I much prefer where we are today to where we were in February.

The agency’s understandable concerns about the decline in the Share Insurance Fund’s equity ratio were balanced with restraint, which allowed credit unions to focus on the needs of members. That isn’t easy for an insurer, but credit unions have consistently reminded us that what we do here has a direct impact on members.

At our September meeting, Board Member Hood and I asked staff for a review of the share insurance fund’s investment policies. I am grateful to the staff and investment committee for moving on that quickly and for plans to publish the policies. The Share Insurance Fund is funded in large part by the credit unions. It’s as if we are babysitting their money — credit unions ought to know what happens after the baby is dropped off.

With the fund crossing over the $20 billion mark, the review of investment policies is even more important. I look forward to learning more in the coming weeks.

Thank you, Mr. Chairman. This concludes my remarks.