Catalyst, NCUF to Offer New CIF Option
“Not long ago, the CIF was a significant funding source. But economic conditions over the last two to three years have yielded dwindling returns for the NCUF and state foundations,” said Kathy Garner, Catalyst Corporate FCU president and CEO. “Catalyst was eager to re-visit the traditional CIF model, with the goal of creating a new option that benefits investors and helps sustain the national foundation. We believe we accomplished that goal.”
The new alliance allows member credit unions to choose products such as callable and bullet U.S. Government agency securities, as well as negotiable bank certificates of deposit. Members can specify the percentage of interest income to be shared with NCUF, as well as the fund designation. Catalyst also offers investment products that return 50 percent of interest income to NCUF. Among the products is a Catalyst certificate of deposit (strictly a CIF investment product) that features maturity options of six months, 12 months or 18 months. Other investment products include a 90-day notice account.
“CIF is a wonderful way in which credit unions can support the development of credit union leaders, as well as support credit unions in their efforts to provide community outreach program and services,” notes Texas Credit Union Foundation executive director Courtney Moran. “By supporting CIF credit unions are supporting state as well as national initiatives, while at the same earning dividends on their investment.
The new alliance is a result of the winding down of the traditional CIF model that was tied to U.S. Central, Garner said. To learn more about the new CIF option, please go to www.catalystcorp.org/cif.aspx or contact your Catalyst investment officer at (800) 405-7067.