Capital Markets and How Credit Unions Can Issue Subordinated Debt

Historically, credit unions have accessed capital through CDs, short- and long-term loans, and other investment funds to help them expand and pursue strategic initiatives. However, as credit unions have grown over the years and are offering more complex services, there is a demand to meet balance sheet needs, causing them to enter the secondary capital market. Capital markets also create an additional opportunity for credit unions to become issuers of capital through subordinated debt. In this episode, Doug welcomes guests representing Alloya Corporate Federal Credit Union, Bill Patton and Greg Hill. They discuss how they’re improving loan participations, how a credit union can become an issuer, and other factors credit unions should consider when entering the capital market space. Stream the full episode now.