A Direct Line Blog

By Tanner Goertzen, Millennium Corporate Credit Union Senior Financial Analyst

Tax season is in full swing, which means excess liquidity. Now is a great time to lock up yield and build out your investment ladder with offsetting maturities in the months when demand for liquidity will be higher. Through SimpliCD and CU Investment Solutions, Millennium Corporate’s Asset & Investment Management (AIM) department can help you find an investment that fits your specific needs.

Millennium Corporate and SimpliCD allow easy access to certificates of deposit investments with competitive rates. Now is the ideal time to target odd-terms when investing, such as 18-month or 30-month maturities, to avoid one- or two-year cycles causing additional liquidity coming due during tax season. Targeting maturities when your credit union experiences the most demand can help spread out liquidity during tax season and allow your institution to earn much higher yields. Both can easily be purchased online through the AIM Portal.

AIM also offers brokerage services to credit unions through the CU Investment Solutions Corporate Agent Program, providing credit unions with access to more investment types. Building out your investment ladder through treasuries or agency bullets is another attractive option. Additionally, mixing in callable or step-up structures can capture additional yield in the correct rate environment. Monthly cash flows and higher yields can be added through amortizing securities like mortgage-backed securities or collateralized mortgage obligations.

Reach out to an AIM Representative at aim@millenniumcorporate.org or 855-882-8474 to discuss your investment options today!