ALEXANDRIA, Va. (4/29/13)--The Financial Stability Oversight Council's 2013 Annual Report, released late last week, features three regulatory recommendations credit unions should be aware of, National Credit Union Administration Chair Debbie Matz said Friday.
"As the supervisor and insurer of the credit union system, NCUA takes these recommendations and the analysis of emerging risks very seriously. A number of the risks identified and recommendations are consistent with our regulatory and supervisory priorities, and the report reinforces and reaffirms the critical nature of these priorities," Matz added.
The FSOC report:
Recommends that regulatory agencies continue their scrutiny of how potential changes in interest rates could adversely affect risk profiles;
Emphasizes that capital and liquidity buffers form the most fundamental protection for the broader financial system; and
Notes that operational risks, including cyber-security risks, are an emerging and rapidly changing threat.
For the full NCUA release, use the resource link.
The Credit Union National Association is reviewing this report and will be following up with NCUA to further spotlight credit unions efforts in these areas. "To the second point, the ability of credit unions to have access to supplementary capital, which NCUA supports, would provide additional protection to credit unions and the National Credit Union Share Insurance Fund," CUNA Deputy General Counsel Mary Dunn said.