November 15, 2007

The CUMIS Group Limited and Credential Financial Inc. recently launched a study to explore a wealth management strategy for the credit union system.

“Top credit union CEOs have identified ‘the unmet needs of the growing retirement and pre-retirement community’ as one of the biggest opportunities of the next decade for the financial services industry,” says Kenn Lalonde, president and CEO of the CUMIS Group. “This share-of-wallet growth potential is a key priority for the immediate future.”

As the primary wealth management providers within the credit union system, CUMIS Group and Credential Financial were asked by credit union leaders to undertake a study that will examine opportunities for the mass-market and high-value member and retirement segments.

“The study will review the current position of credit unions in relation to the competition and market, and will include an analysis of the opportunities and risks for investment, insurance and trust business lines,” says Don Rolfe, president and CEO of Credential Financial Inc. and Ethical Funds Inc. “It will also articulate what will need to be done to capture the opportunity through the mobilization of credit union system partners.”

In addition to Lalonde and Rolfe, the project steering committee includes Myrna Bentley of Concentra Financial, Gord Huston of Envision Financial, Sean Jackson of Meridian Credit Union, Tom Bryk of Cambrian Credit Union, Howard Bogach of Ontario Central and Sid Bildfell of SaskCentral.

Heather McLachlin of CUMIS and Elaine McHarg of Credential are co-leading the project working team, which is comprised of Bev Brown of Envision Financial, Bob Hague of Meridian Credit Union, David Mortimer of Cambrian Credit Union, Dave Smith of Concentra Financial, Stephen Ellis of Ontario Central and Debbie Lane of SaskCentral.

The project has been divided into three phases: discovery, analysis and recommendations. The discovery phase is now under way and the analysis phase has begun utilizing the Monitor Group as consulting partners. Credit union input will include best practices, barriers and data on why clients do – or do not – deal with credit unions for their wealth management needs. The analysis phase will determine key recommendations from credit union, supplier and dealer points of view.

“We expect to complete the Wealth Management Blueprint in December 2007, with a goal to present our findings and recommendations early next year,” Lalonde said. “Both Don and I are confident that our efforts will provide the credit union system with a winning strategy for meeting the needs of our growing retirement and pre-retirement community.”