About Us Summerland Capital Disclosures
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Summerland Credit Union Limited, as an Authorised Deposit-Taking Institution (ADI), is regulated by the Australian Prudential Regulation Authority (APRA). APRA is the prudential regulator of the Australian financial services industry and it oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry. The primary role of APRA is to ensure the stability of the financial industry and a key way it does this is through stringent capital adequacy requirements. Under the Prudential Standard APS110 Capital Adequacy: “Capital is the cornerstone of an ADI’s financial strength. It supports an ADI's operations by providing a buffer to absorb unanticipated losses from its activities and, in the event of problems, enables the ADI to continue to operate in a sound and viable manner while the problems are addressed or resolved. The Board of Directors (Board) of an ADI has a duty to ensure that the ADI maintains an appropriate level and quality of capital commensurate with the level and extent of risks to which the ADI is exposed from its activities.” Under the disclosure requirements for all ADIs, information about the credit union’s capital is displayed here on our website for the information of our members and prospective members. The disclosure will show the assets of the credit union and their appropriate risk weight under Basel II – the international standard for a risk based capital framework. The total capital, ie reserves and retained profits, of the credit union over these risk weighted assets produces a Capital Adequacy ratio for the credit union. The minimum ratio required under APS110 is 8%. Capital Adequacy You can access our current disclosure document by clicking the following link: You can access our previous disclosures by clicking the following links: |
