Insights from Catalyst

Welcome to Catalyst Corporate's blog, where thought leaders share their insights on news, trends and events. Have a blog idea? Contact the Communications Team

  • SOFR So Good, but Transition from LIBOR Will Come with Risks…

    November 16, 2020 | Dan Abdill

    In the U.S., LIBOR’s “heir apparent” is the Secured Overnight Financing Rate (SOFR). Regardless of the chosen benchmark, transitioning from LIBOR has its risks. In July 2020, the Federal Financial Institutions Examination Council (FFIEC) – of which the NCUA is a member – released its “Joint Statement on Managing the LIBOR Transition.” The statement enumerates the types of risk examiners will focus on but does not endorse a specific replacement benchmark.
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  • 8 Tips for Managing your Cash Supply Chain and Inventory

    November 12, 2020 | Karen Coble

    Financial institutions have some of the most intricate supply chain systems in the world, specifically the cash supply chain. Here are eight tips to help your credit union assess and optimize its cash supply chain and vault, ATM and device inventory processes, so you can create more visibility, refine procedures, and keep your cash supply chain moving efficiently.
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  • FOMC Guidance Sets New Tone for Future Rate Forecasting

    November 09, 2020 | Jonathan Jackson

    In late August, a new update to FOMC policy framework was introduced which included a major shift in strategy for potential rate hikes. In an effort to provide further clarity, the FOMC issued explicit guidance, reinstating its commitment to leaving rates unchanged until the new set of economic parameters is met. Here's a closer look at the new criteria.
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  • The Importance of Alternate Scenarios in Today’s Post-COVID Reality

    November 03, 2020 | Todd Benson

    As the COVID-19 pandemic stretches on, we are slowly getting used to our “new normal” and the description of this chapter in history as “unprecedented.” While this year has indeed been unlike any other, an important new economic “truth” has also emerged from the ongoing global health crisis – one credit unions can’t ignore.
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  • What You’re Experiencing…is Reinvestment Risk

    October 26, 2020 | John Kirby

    As we enter the eighth month of the pandemic, credit unions that have consistently maintained a short-term investment strategy may be starting to see their investment income levels drop as they complete their 3rd quarter call report. We’ve already seen net interest incomes drop since the market crashes this spring, as the zero-interest rate environment leaves less room for net spread between cost of funds and what you’re earning on assets.
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