Texas Dow Employees CU’s New Holding Company Seeks Best Practices
Over the next five years, Texas Dow Employees Credit Union is expecting all of its CUSOs to continue to represent a significant portion of the cooperative’s overall earnings.
The $1.7 billion financial institution in Lake Jackson, Texas, recently made a step in that direction by forming an entity to align its four subsidiaries for growth and expanding their respective business lines. Through the launch of TDECU Holdings LLC, the credit union has brought TDECU Insurance LLC, TDECU Wealth Advisors, TDECU Real Estate LLC and Century Oaks Title LLC under one management roof. With the new structure, the credit union’s interest in the CUSOs will be held by the holding company, which is scheduled to debut Jan. 1, 2012.
While he did not release financial data for TDECU Insurance, Belton said the CUSO is also is poised for growth with Wesley Wolff, who was hired as president in August. Two agents recently joined the team and the agency is exploring acquisitions to cultivate further growth and expand its service area. Belton said an acquisition has been approved and is scheduled to close by the end of the year.
“The main reason for the acquisitions is to increase scale and first and foremost, to serve the members,” Belton said.