TYSONS, Va.–PenFed Credit Union hosted its Board Education Conference with five expert speakers, including the first in-person event by NCUA Chairman Rodney E. Hood since March 2020.
Speaking to the 11 members of PenFed’s board, five members of PenFed’s Supervisory Committee and nine members of PenFed’s executive team, Hood presented a positive outlook for the credit union industry. Chairman Hood asserted that on the strength of credit union share growth, the National Credit Union Share Insurance Fund is carrying sufficient equity to withstand the pandemic.
Hood emphasized that he sees no need for the insurance fund to charge a premium at this time, and he assured that NCUA leaders are working to encourage credit unions’ growth while maintaining safety and soundness, PenFed reported.
“PenFed is honored that Chairman Hood agreed to speak in person at PenFed and share his priorities for NCUA,” said PenFed President & CEO James Schenck. “Chairman Hood highlighted many NCUA regulatory and supervisory changes designed to provide credit unions more flexibility in serving our members. We strongly support Chairman Hood’s goal to ‘create a regulatory system that is effective, but not excessive.’”
Hood also answered questions from PenFed leaders. PenFed Chairman Ed Cody, who as a student worked as a teller at a church credit union, asked how larger credit unions can support smaller credit unions. According to PenFed, Hood observed that many credit unions received record share growth in 2020 and are looking for opportunities to acquire assets.
PenFed said Hood thanked the credit union for selling and participating in $5.3 billion worth of loans to other credit unions in 2020, and he suggested NCUA could play a role in facilitating connections between credit unions seeking to sell assets and credit unions seeking to buy assets, in order to keep those assets within the credit union system.
Other Insights Shared
Other insights from speakers at PenFed’s Board Education Conference:
- Stifel Chief Economist Lindsey M. Piegza forecast that interest rates will remain near record lows through 2023.
- Global Workplace Analytics President Kate Lister shared best practices for facilitating remote workers.
- Independent Consultant Phillip Merrick recommended that the new cybersecurity perimeter in the cloud era must include three lines of defense: people, data, and automation.
- PwC Banking & Capital Markets Leader Peter Pollini predicted the future of mortgages will be a 100% digital experience—from pre-approvals to applications to electronic signatures.
“If we as credit union leaders think we have all the answers, we will fail miserably,” Schenck concluded. “That’s why PenFed is committed to bringing in outside experts to discuss timely topics that impact the future of financial services. We thank the PenFed Board Planning Committee for putting together an exceptional Education Conference that will shape our strategy to serve more members in the future.”