WASHINGTON–Just how flush many credit unions are with liquidity is evident in new numbers being reported by Trust For Credit Unions, a mutual fund created by and for CUs.
Trust for Credit Unions is reporting it broke its previous all-time record of just over $4 billion, attracting nearly $1 billion in new investments in a single month. The two TCU bond funds, the Ultra-Short Duration and Short Duration Portfolios had total combined assets of $5 billion as of April 12, 2021, the company said.
“As credit unions continue to seek competitive investment options to help them manage excess liquidity, TCU has welcomed a record number of new credit union investors while continuing to assist their long-time institutional investor base,” the company stated.
Trust for Credit Unions said the TCU Ultra-Short Duration Portfolio, which targets a three-month duration, had a 30-day yield of 0.23% as of April 12, while the TCU Short Duration Portfolio, which targets a two-year duration, had a 30-day yield of 0.48% over the same period.
Both funds offer next-day liquidity, feature no minimum or maximum investment amounts, and have no tiers, according to TCU.
ALM First Financial Advisors serves as the funds’ investment advisor.