Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

Washington
Rural Districts, TIPS Lead NCUA Agenda
ALEXANDRIA, Va. (2/15/13)--Final rules addressing Treasury Inflation Protected Securities (TIPS) and rural districts will lead the day when the National Credit Union Administration holds its next open meeting on Feb. 21.

The NCUA in September 2012 released a proposed rule to allow federal credit unions to purchase TIPS as a permissible investment. Currently, TIPS are not a permissible investment because TIPS reprice their value based on changes in the consumer price index, which is currently a prohibited index for variable rate instruments. However, the agency believes that TIPS will provide an additional investment portfolio risk management tool.

Allowing such investments, as proposed by the NCUA, will allow credit unions to protect against inflation and manage interest-rate risk, Credit Union National Association Deputy General Counsel Mary Dunn has noted.

The rural district final rule follows a September NCUA proposal that would provide more flexibility to federal credit unions serving rural areas by expanding the rural district definition to geographic areas with 200,000 or fewer inhabitants or less than 3% of a given state's population.

Dunn last fall said the NCUA proposal does not go far enough to provide meaningful relief to those credit unions that provide services to rural communities. She urged the NCUA to allow as much authority as legally permissible to federal credit unions to facilitate their presence in these areas of the country that are often are in serious need of financial institution services.

The quarterly insurance fund report will also be presented by NCUA staff.

The open meeting is scheduled to begin at 10 a.m. ET.

A final rule addressing NCUA employee conduct is the lone item on the closed meeting agenda. The closed meeting is scheduled to begin at 11:15 a.m.

For the full NCUA agenda, use the resource link.
Other Resources

NCUA Agenda
RSS





print
News Now LiveWire
Which Children's Miracle Network Hospital is the winner of @CUDirect's 20 for 20 grand prize? Find out Tuesday.
3 hours ago
Gas prices have fallen for a record 88 days in a row says @AAAnews via @washingtonpost http://t.co/c52VTdqHEB
6 hours ago
.@TheNCUA releases regulatory modernization initiative results (PDF link) http://t.co/pgLZe4aget
6 hours ago
#FinCEN seeks nominations of FIs, trade groups for membership on Bank Secrecy Act advisory group http://t.co/l5w58c277W
7 hours ago
MI pediatric dentist pledges $20K match to Hurley Children's Hospital if it wins @CUDirect's 20 for 20 http://t.co/Eq2nIPm6jo
8 hours ago