Monday, August 15, 2011 10:19:00 AM
HIGHTSTOWN, N.J. - The New Jersey Credit Union League's Weekly Exchange for the week of August 8th is now available for download from the League Web site, which is now back up and running. In this issue, you'll find valuable information and opinions on the NCUA's recent lawsuit actions and what credit unions can expect in the wake of the debt ceiling debate.
NJCUL President/CEO Paul Gentile, in his weekly column, shares his opinion on regulators' seeking compensation for losses due to mortgage-backed securities, the NCUA's recent announcement of its lawsuit against Goldman Sachs in particular. "NCUA will have to get into a very long line of parties seeking to be compensated for failing mortgage-backed securities," according to Gentile, and the outcome of its suits (this brings NCUA's total up to four) is unlikely to be seen any time soon. "They will be multi-year, expensive suits that likely won't end until the Corporate Stabilization plan is over."
In the wake of the debt ceiling debate, last week's Stock market rollercoaster, and the Fed's continuation of the record-low interest rate, UBS' Gary Tantleff sifts through all of these economic headlines and sheds light on what all this mean for credit unions in his guest column titled "Recent Market Volatility Shouldn't Upend Your Credit Union's Long-Term Strategy". Tantleff advises that "in a difficult lending environment, credit unions can't afford not to maximize their investment portfolio."
His main concern is credit unions' letting the market volatility affect what they've been working towards. "It is important to maintain a well thought-through investment plan based upon your credit union's needs and designed to achieve your long-term financial goals," according to Tantleff. Also included in his column is a link to UBS' Strategic Insights for August 2011 that includes a good overview of current economic conditions, and potential outcomes.
The Weekly Exchange can be downloaded here.