• March 07, 2024
• Bulletin No: 2024-07

The Federal Home Loan Bank of Dallas (Bank) will implement the annual adjustment to members’ minimum investment requirements on April 15, 2024. This annual adjustment may increase or decrease the amount of capital stock that individual members are required to maintain.

Members are required to maintain an investment in Class B Stock equal to the sum of a membership investment requirement and an activity-based investment requirement. The Bank’s activity-based investment requirements apply to advances and letters of credit (LOCs). Class B-1 Stock is used to meet the membership investment requirement, while Class B-2 Stock is used to meet the activity-based investment requirements.

The membership investment requirement percentage for 2024 will remain at 0.04 percent of each member’s total assets as of the most recent year end, subject to a minimum amount of $1,000 and a maximum amount of $7 million. In early April, your institution will receive a separate notification of the new membership investment requirement based on your December 31, 2023 total assets.

The advances-based component of the minimum investment requirement will remain at 4.1 percent of each member’s outstanding advances, except for advances that were funded as part of the Bank’s special advance offerings with reduced capital stock requirements during the fourth quarter of 2015 and the period from April 1, 2020 through December 31, 2022. In each case, the minimum investment requirement for those advances will remain at 2 percent.

The LOC-based component of the minimum investment requirement will remain at 0.10 percent (the “LC Percentage”) for LOCs that are issued or renewed on and after April 19, 2021. The LC Percentage is applied to the issued amount of the LOC rather than, if applicable, the amount of the LOC that is used from time to time by your institution during the term of the LOC. Further, renewals for this purpose include amendments that extend the expiration date of the LOC.

As always, thank you for being a valued member.


Sincerely,


Sanjay K. Bhasin
President and Chief Executive Officer