Kindred Credit Union - Banking with Purpose
Transcription
Kindred Credit Union - Banking with Purpose
Special Membe rship Is sue Share mscu faith > finances What’s Inside… 2 A few words from… 3 MSCU Charitable Fund… 3 Agricultural Partnerships… 5 From the Desk of… Member Newsletter | Spring 2015 Plant seeds for the future of your credit union. During the Town Hall Meetings, board members Leroy Shantz and Len Rempel have been acting as moderators and asking senior leaders a series of questions about the future of MSCU, and then encouraging members to respond. If you didn’t have the opportunity to attend one of the meetings, we invite you to read the following excerpts from the conversation so far. Leroy: So John, what’s going on in the world of credit unions these days? And what’s happening at MSCU? John Klassen, Chief Financial Officer: First, it’s important to know that in general, financial services in Canada are dominated by the “big five” chartered banks, as well as several newer virtual banks. Competition is stiff and recently banks have become more interested in agricultural lending – an area of expertise for MSCU. However, the sustained low interest rate environment is likely the single biggest factor affecting credit unions today – credit unions across Canada are facing radically decreased profitability. On top of that, we have increased regulatory requirements that are driving up our costs and challenging our efficiency. What’s happening in the marketplace? Len: Then, what does this mean for the future of credit unions? And for MSCU? JK: A key study by Deloitte, a large international accounting firm, indicated that credit unions need to “go big or go niche.” That is, they need to either increase their size, mostly through mergers, or define a unique niche to serve; and even then, size is necessary. Credit unions all around us are merging to become bigger. In contrast, MSCU has been amongst the most successful niche players in Ontario yet we need to grow more quickly in membership and asset size to restore an appropriate level of efficiency and profit margin. – continued on page 2 A Few Words From... Pamela Fehr, Vice-President, Marketing Looking out my office window I’m reminded we’re in the dead of winter. The land is frozen so thinking about planting seeds in my garden is a long way off. Still, there are many steps in the process to reap an abundant harvest and preparation begins long before the soil is ready. At MSCU we are tending the soil of our garden and seeking to plant seeds for our future. By now I hope you’ve heard about our Town Hall Meetings. As I write we are halfway into a series of meetings around the topic of MSCU’s future direction. Our focus during Town Halls is to share our thoughts with you and hear your voice in response. It’s during times like these I’m reminded just why I’m thankful to work at a credit union. Rather than being driven by shareholder demands, we have the privilege of working cooperatively with our members who are genuinely interested in MSCU’s best shared future, and who come to their thoughts and opinions from a set of values that are similar to mine. I’m thankful that it’s YOU who helps shape my workplace and that during these Town Hall meetings, I’m sitting across from friendly, caring faces who have MSCU’s collective best interests at heart. Share faith > finances The work we’re doing and the questions we’re asking our members at Town Halls will impact our name, our brand, and our focus going forward. Following the meetings, our leadership team and your board of directors will deliberate on the feedback we’ve heard. At our AGM, you’ll have a chance to hear our reflections and what we think the next steps are for the credit union. I encourage you to attend our AGM this year and share your voice once again – we will talk about our mission, vision, name, and most importantly, the values that continue to define us. Hearing your voice on how we put our faith and finances together matters. Please join us as we tend the soil of our collective garden and plant seeds for our future! 2 | Spring 2015 Plant Seeds … continued from page 1 Leroy: That sounds like things are working against us. Surely there is more to the picture than that. What do we have working in our favour? Brent Zorgdrager, Chief Executive Officer: Indeed there is good news as well! MSCU continues to benefit from being in a strong capital position and our shares in Qtrade Financial Group are generating significant additional gains for us. We continue to grow organically and we have a strong and growing reputation within the credit union system that indicates we’re doing a lot of things right. Over and above all of this, we have our rootedness in the Anabaptist faith, which has moved us to create, and to maintain for over 50 years, a values-based financial institution. This is a unique niche on a provincial and national level! And we lead the way with valuesbased products like Oikocredit Global Impact GICs, Church Builder GICs, and Member Assistance Services (MAS). Our faith-informed philosophy encouraging members to Share, Save, Spend – not just save and spend like the banks – clearly sets us apart as well. Len: Given all that’s going on in the marketplace and at MSCU, both the favourable and the not-so-favourable, how should we respond? What’s the impact on our vision going forward? BZ: While we have had consistent, but modest, organic growth, it’s clear that this growth is not sufficient in the long term. The majority of our credit union peers are dealing with this via mergers, but our unique service to communities of faith means there are no credit unions that are clear partners for us at this time. Leroy: So what do you propose we do? BZ: We believe that we should emphasize values that flow from our faith-based, values-driven identity – play to our strengths – and explicitly invite those who share our values to join us. While remaining abundantly clear about who we are and what we stand for, we want to lift off the bushel basket and put our light on top of a lighthouse. We’ve always been very welcoming to those that come into our credit union. In 2010, we expanded our bond, welcoming those who embrace our Statement of Shared Convictions. We believe we now need to be more invitational, to go out and let people know we exist so they can choose us to help them connect their values and their finances. When we expanded our bond, there was some concern that this change would dilute our core essence. I believe that reaching out has actually improved and strengthened our connection to our values. We now talk with clarity and intentionality about our convictions every time we open a new membership. Len: What’s stands in the way of growth and how are we addressing those barriers? Pamela Fehr, Vice President, Marketing: We already pursue traditional and non-traditional options to reach people in cost effective ways and we’d like to do more. But before marketing more widely, we wanted to understand member and non-member perceptions of our current brand. – continued on page 5 How welcoming are we? What’s in a name? Mennonite Savings and Credit Union Advancing Peace, Social Justice, and Mutual Aid in our communities Focus Grant Recipient Mennonite Community Services – $10,000 Focus Grant Each year a $10,000 focus grant is chosen. This year’s recipient, on the theme of peace, is Mennonite Community Services for their “Peace and Peace Keeping Among the Youth” project. This project will see expanded Low German radio programming featuring interviews with Mennonite Central Committee service workers working with youth soldiers and interactive chats with youth exploring the meaning of peace, how it pertains to them, and exploring cross-cultural relationships. Additional Grant Recipients The MSCU Charitable Fund: 15 years of local impact We’re pleased to announce this year’s recipients of The MSCU Charitable Fund grants. Each year, projects are selected from many submissions to further our Stewardship in Action themes of peace, social justice, and mutual aid. This year marks the 15th year these grants have been awarded to community building projects from across the province. With $80,000 in grants disbursed this year, almost $850,000 has been distributed to 245 projects at 144 different churches and organizations! Peace Social Justice Farmtown Canada’s Funny Farm Ministries – Farmboys Rock $5,000 Community Justice Initiatives – BackHome: Reintegration Circles*$6,500 Fresh Start Maternity Supports – Getting Unstuck Program Life Change Adventures – Sunnydale Connect $4,000 $1,000 Highland Stirling Community Group – Growing Community Together$4,000 Mennonite Coalition for Refugee Support – Legal and Settlement Support Program* $6,000 Jane Finch Faith Community – Community Missionary Program The Working Centre – Community Access Bikeshare (CAB) $3,000 Lao Christian Fellowship Mennonite Church – Peacebuilding Community* $2,500 Mennonite World Conference – MWC Global Assembly 2015 $3,000 Reception House Waterloo Region – Soccer for Al $5,000 $7,000 Mutual Aid Mennonite Central Committee Ontario – Lazarus Rising $5,000 ONE – Connecting people in Hope*$6,500 Silver Lake Mennonite Camp – Outdoor Education Peace Curriculum Development $5,000 Queen’s Bush Rural Ministries – Support for Farmers $4,000 South Shore Christian School – Community Outreach Stratford House of Blessing – Pork for Life $1,500 $1,000 For more information, please visit MSCU.com or contact Benjamin Janzen, Stewardship in Action Advisor, at [email protected] or 519.772.5243. * Indicates projects receiving multi-year support. Agricultural partnerships lead to global impact We announced in our summer issue of Share that, as part of our commitment to the ongoing Farmer to Farmer partnership with MEDA (Mennonite Economic Development Associates), we’d donate $50 for every agricultural loan we advanced in 2014. Because of your business with us, we are excited to announce that 483 loans led to a $24,150 donation in December. This big opportunity is a result of the many successful partnerships between MSCU account managers and our members. Thank you! MEDA’s current agricultural projects support farmers in countries as diverse as Ukraine, Tanzania, Nicaragua, and Ethiopia where innovative partnerships improve access to technology and markets that improve the lives of millions. Typically, dollars donated to MEDA are used as seed funds and are multiplied seven times through partnerships with other organizations and governments to make a huge impact around the world. Spring 2015 | 3 | Share faith > finances We also invite all members to: discover more by visiting www.meda.org; consider donating online, by cheque, or through ChangeIt; and spread the word to others about this partnership! Beyond relief to lasting solutions FRAUD: RECOGNIZE IT. REPORT IT. STOP IT. March is Fraud Prevention Month Every year, thousands of Canadians fall victim to fraud. Most people don’t think it could happen to them, but fraudsters are using increasingly sophisticated methods to target Canadians of all ages and from all walks of life. Here are a few updates from the Canadian Anti-Fraud Centre’s most recent Annual Statistical Report: • Ontario consumers were most targeted by fraud based on total number of complaints and total reported dollar loss; • Although “Telephone / Facsimile” is reported as the most prevalent solicitation method used; victims of an “Email /Internet / Text Messaging” solicitation method have the highest total reported dollar loss; • Canadians aged 50 to 59 are the most targeted and reported the highest dollar loss. For more information on fraud prevention, call or visit your local branch, MSCU.com or the Canadian Anti-Fraud Centre website. MSCU.com has been updated with information to help our members Recognize, Report, and Stop fraud. Click on the “Protect Yourself” button on the MSCU.com homepage to learn more. Co-operative banking means sharing our earnings! MSCU is excited to announce that $840,000 was deposited into member accounts as Your Share of our 2014 earnings - that’s co-operative banking in action! Visit mscu.com and you’ll Welcome to MSCU Join us in welcoming our new staff! Leah Brown Casual Member Services Representative Sarah Dyck Casual Member Services Representative – Aylmer Benjamin Tennant Casual Member Services Representative Did you know... Co-operative banking is based on the idea that profits should have a higher purpose. They should be returned to you, in the form of great rates, better service, and as a share of earnings. As a credit union rooted in faith values, it feels absolutely right to share what we’ve collectively earned. Co-operative banking means you’re much more than a customer, you’re a Member. Even better, you’re an Owner. Receiving a share of earnings is just one of the benefits of being a Member and an Owner at MSCU. Your Share of earnings from member loans and non-registered deposits will be split evenly between additional Owner Shares and cash. Check out your Owner Shares balance and your current account to see Your Share! For more information about co-operative banking, please visit cooperativebanking.ca. Lending is different at MSCU We encourage responsible use of credit, apply faith-based stewardship principles, and seek to live out our values every day. 2 Residential Mortgage Special .99%* 5 Year Term Credit unions were the first financial institutions to allow women to borrow under their own name. Doing what’s right is what co-operative banking is about. When you choose co-operative banking you’re more than a customer. You’re a Member and an Owner. * Rate subject to change. Rate includes relationship pricing. Annual Percentage Rate (APR) is equivalent to the Annual Interest Rate. APR assumes no fees or charges apply. If fees or charges apply, your APR would increase. Share faith > finances Call your local Personal Lending Specialist today and experience the MSCU difference. Spring 2015 | 4 Mark your calendars! Please join us for MSCU’s 51st Annual General Meeting When: Tuesday April 14, 2015 Where: Creekside Church, 660 Conservation Drive, Waterloo Registration: 6:30 p.m. Meeting: 7:00 p.m. Plant Seeds We will continue to , discuss change, and hear how members would like us to express our values. Following the meeting, share in fellowship and dessert, wander through our MSCU Art Gallery, and check out the MSCU commissioned 50th Anniversary quilt. Transportation will be provided from Aylmer and Mount Forest with pickup time at 5 p.m. A minimum number of passengers will be required. An advance meeting will be held in Leamington on April 9th at Leamington United Mennonite Church at 7 p.m. Plant Seeds … continued from page 2 So we held focus groups, surveyed our members, and surveyed the broader non-member marketplace to see whether they were interested in what we had to offer and what barriers might be in the way. We identified three main barriers. Firstly, many people simply don’t know about credit unions, how they are different and that they can offer complete financial services. Secondly, potential members don’t understand clearly why we are in business and what we offer at MSCU. And thirdly, and one that brings up many mixed emotions, is our name. As staff and members, many of us identify closely with ‘Mennonite’ to describe our faith, our culture, our heritage, and our community. However, through the research we conducted, we see that our name is not considered welcoming, even to others who share our faith and our values. Leroy: So what do we do about these barriers? And what about our name? PF: We’re working with the Credit Unions of Ontario to help raise awareness of credit unions across the province. And we think we can find different words to more effectively communicate who we are and why we’re in business. It’s our name that is the challenging question. Through many conversations, we identified three important elements of a name for us: faith, community, and a sense that we are making a positive difference in people’s lives. So, with these pillars in mind, we’d like to hear member thoughts on the advantages and disadvantages of changing our name. Brian Barsness, Director, Investment Services, Head Office The first of its kind in Ontario! A guaranteed investment with global impact MSCU announced in early February that we have teamed up with Oikocredit Canada to launch the Oikocredit Global Impact GIC. For the first time ever, people in Ontario can invest in a guaranteed, RSPeligible investment aimed at lifting people out of poverty in low-income countries! Working with Oikocredit, a global leader in impact investing, is a natural fit for our credit union with their strong church roots and values-based approach. Eugene Ellmen, National Director of Oikocredit Canada, shares that, “We know Canadians and Ontarians want investments that directly benefit people and communities.” Mr. Ellmen adds, “However, offerings in this area are very limited. Being able to contribute to global impact through personal investments is very exciting and begins to fill a big gap in the marketplace.” In 2001 MSCU helped launch Meritas SRI Funds which are now held by 17,000 investors across Canada. The addition of the Oikocredit Global Impact GIC builds on MSCU’s socially responsible investments (SRI) offering and it’s humbling to see the positive influence we’ve had on the SRI community in Canada. The Oikocredit Global Impact GIC is another way you can align your values with your finances while supporting people around the world. The GIC is being offered as a 12 month term at an initial interest rate of 1.30% and is available to any individual or institutional investor in Ontario who is a member of MSCU. If you would like to learn more about Oikocredit Canada, visit their website at Oikocredit.ca. To learn how your investments can have Global Impact, call or visit your local branch to speak with a member of our Investment team today! Share faith > finances So, how have members responded to these topics raised today and to the question of our name? We are still in the midst of listening to the range of perspectives that you hold. We are hearing all manner of feedback and will reflect on what we hear as we continue with Town Halls. We look forward to sharing a summary with you on what we’ve heard later this spring. Stay tuned! From the Desk of… Spring 2015 | 5 AYLMER 589 John Street North, Aylmer, ON N5H 2B6 Your investments can have Global Impact! ELMIRA 25 Hampton Street, Elmira, ON N3B 1L6 KITCHENER 50 Kent Avenue, Suite 101, Kitchener, ON N2G 3R1 Leamington 243 Erie Street South, Leamington, ON N8H 3C1 Milverton 12 Main Street South, Milverton, ON N0K 1M0 MoUNT FOREST 116 Main Street North, Mount Forest, ON N0G 2L0 New Hamburg 100 Mill Street, Unit M, New Hamburg, ON N3A 1R1 Oikocredit Global Impact GIC Waterloo 53 Bridgeport Road East, Waterloo, ON N2J 2J7 1.888.672.6728 | [email protected] www.mscu.com © Opmeer Reports Meritas SRI Funds are devoted solely to creating and marketing socially responsible investments. Meritas SRI Funds is a division of OceanRock Investments Inc., a member of the Qtrade Financial Group. Financial planning services and mutual funds are offered through Qtrade Asset Management Inc., member MFDA. Purchasing investments with borrowed monies involves greater risk than a purchase using cash resources only. Please speak to your representative to discuss your personal situation. Mutual funds and securities related financial planning services are offered through Qtrade Asset Management Inc., Member MFDA. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Publication date 12/2014. We know how important your savings and investments are to you as you plan for your future. We also know that as a credit union member you care deeply about helping others in your community and beyond. We’ve teamed up with Oikocredit, an international co-operative, to offer members a GIC that provides a local, secure, guaranteed investment AND supports international sustainable development. An Oikocredit Global Impact GIC is one way you can align your values with your finances while supporting people around the world. Speak with our Investment team to learn how your investments can have Global Impact! © 2014 Mennonite Savings and Credit Union. For permission to reprint an article from Share, email [email protected]. If you have any questions or comments about this issue of Share, please email [email protected] or call us at 1.888.672.6728. This newsletter is available online at www.mscu.com. Printed on paper: Made with recycled fibres Manufactured with renewable energy Bleached without liquid or gaseous chlorine FSC FPO