COLUMBUS, Ohio – After conducting a liquidity risk assessment, Moody’s Investor Services reaffirmed Corporate One Federal Credit Union’s short-term rating as P-1, its highest rating designation, reflecting confidence in Corporate One’s liquidity position.
“Corporate One looks to maintain a liquid balance sheet that places member capital preservation first and foremost. The demand nature of Corporate One’s liability structure requires the institution to maintain a high level of balance sheet liquidity to meet member demands,” Moody’s said. “About 98% of Corporate One’s assets at the end of the quarter were comprised of cash and high quality securities and investments.”
The ratings firm said that although there is risk inherent to Corporate One’s private label mortgage backed securities given the current volatility of the market, Moody’s said it believes “Corporate One has the liquidity capacity to hold the securities and not have to realize the imbedded market losses.”
