Loan and Investment Portfolio and Liquidity, along with Strong Capital Are Key Factors
From the recent news regarding Eastern Financial Florida Credit Union, to the latest information from government “stress tests,” Pembroke-Pines-based Power Financial Credit Union CEO Allan M. Prindle says the Credit Union can weather the storm by following a conservative business model with an exceptional level of capital.
“Undeniably there are challenges facing the financial markets and as a financial institution we are highly correlated to those markets,” said Prindle. “Our members are our primary focus and we manage the Credit Union accordingly -- we are not immune from economic downturns but we have ‘stayed the course’ while many others made decisions which now prove to be decisions that were not sound nor prudent. Power Financial Credit Union will continue on that course because we think our members deserve financial peace of mind in addition to outstanding service, competitive products and unsurpassed convenience.”
With respect to the investments the Credit Union holds as assets, Power Financial Credit Union holds no securities having underlying sub-prime backed securities, no commercial mortgage-backed securities (CMBS) or collateralized debt obligations (CDO). “This is the culprit for the majority of the stress that this sector of the financial markets is under and we are not impacted by those announcements thanks to our conservative investment strategies,” added Prindle. “In fact, we have maintained a more than ample level of liquidity, and as of March 31, 2009, had over 30% of total assets in available funds that are immediately accessible. For unexpected losses, we have always relied on our strong capital, which as of March 31, 2009, is in excess of 12%…double the percentage to be determined as adequately capitalized by our Federal Insurance Regulator!” noted Prindle.
About Power Financial Credit Union
Power Financial Credit Union, a member-owned financial institution, has been serving the South Florida community for more than 55 years. Power Financial Credit Union has 8 branches throughout Miami-Dade, Broward and Palm Beach counties with more than 50,000 members and assets totaling $480 million. For more information, visit www.powerfi.org.
Contacts:
Power Financial Credit Union
Sherri Pfefer, 954-651-3505
sherri@brainstorm2go.com