Stanford FCU Overhauls Investment Services
With a field of membership steeped deeply in the heart of Silicon Valley, Stanford Federal Credit Union knew that it was sitting on a bevy of untapped opportunities to provide more investment services.
It was one of the strategies on the front burner at the $1.4 billion credit union in Palo Alto, Calif., when President/CEO Joan Opp took the helm two years ago, said Trent McIlhaney, chief financial officer.
While McIlhaney did not provide details on how much the credit union paid to launch the program, he did say it wasn’t a significant investment and all told, startup costs can range around the mid to low five figures.
CUFN works with LPL Financial, the independent broker-dealer giant with more than 4,500 financial advisers and offices in Boston, Charlotte, N.C., and San Diego. McIlhaney said he likes that the CUSO can negotiate better rates with LPL than what he could on his own. That, coupled with CUFN’s program management, helps to ensure that members are not just getting ladled with unneeded products and services just so advisers can get the commissions.