SPRING 2017 NEWSLETTER

62ND ANNUAL MEETING OF RED WING CREDIT UNION

Red Wing Credit Union held its 62nd annual business meeting on Tuesday, March 7, 2017 at the St. James Hotel in Red Wing. Financial reports were presented by the Board of Directors, Supervisory Committee and management. The reports showed the Red Wing Credit had strong growth in nearly all areas of operation in the financial year ending 2016, while delinquent loans and operating costs remained low. The credit union ended the year well capitalized with over $92 million in total assets.

Melanie Ahrens was re-elected to a three-year term on the Supervisory Committee. Shirley Perkins and Stacy Bystrom were re-elected to three-year terms on the Board of Directors. Dessert and coffee were served and door prizes were drawn at random at the conclusion of the meeting.

The management of Red Wing Credit Union would like to take this opportunity to thank all the volunteers that serve our credit union on the Board of Directors and Supervisory Committee. We feel the volunteers are truly a reflection of our credit union and play an integral role in our success.

2017 Board of Directors

Daryl Mark, Chair - Josh Thygesen, Vice Chair - Shirley Perkins, Secretary - Stacy Bystrom, Director - David Hull, Director - Tammy Wadley, Director - Stacey Hinrichs, Director

2017 Supervisory Committee

Tom Ahern, Chair - Adam Johnson, Secretary - Melanie Ahrens

From left to right: Shirley Perkins, Josh Thygesen, Stacey Hinrichs, Daryl Mark, Melanie Ahrens, Tom Ahern and Tammy Wadley.
Not pictured: Stacy Bystrom, David Hull and Adam Johnson

Annual Credit Union Scholarships

Red Wing Credit Union is pleased to announce we will once again be awarding two $500 tuition scholarships to our membership. We also have the Rhonda Schultz Memorial Scholarship for $1,000. Those interested in applying need to complete the application available on our website. Please complete the application which includes a five-hundred word essay that answers the following question: "Why is good credit important for future financial success?"

The deadline for this application is May 5, 2017. Scholarship winners will be announced in the next edition of this newsletter as well as in the Red Wing Republican Eagle.

The qualifications for these scholarships are the recipients must be a member of the credit union, a 2017 graduation senior in high school and they maintain a 3.00 grade point average in their first term at an accredited, post high school institution of higher education.

We want to congratulate all the 2017 graduating seniors and wish them the very best in their future endeavors.

2017 UPCOMING HOLIDAY CLOSINGS

The Red Wing Credit Union will be closed the following days to commemorate the holidays:

  • Good Friday - Friday, April 14
  • Memorial Day - Saturday, May 27 and Monday, May 29
  • Independence Day - Tuesday, July 4

You can access your credit union accounts via www.redwingcu.com, Touch Tone Teller and our mobile banking app 24/7. You can also obtain cash with an ATM or check card. Stop by our office and talk to a member service representative about these free services.

Welcome, Tiffany Harrell

The credit union is pleased to introduce our new employee Tiffany Harrell. Tiffany joined our staff as a teller on February 27, 2017 and comes to the credit union with 12 years of customer service experience.

Tiffany was born and raised in Goodhue and resides there with her husband, Shannon, and their two sons, Brady (8) and Jaxon (3). She enjoys listening to her husbandís band, Generation, watching sports, spending time with her children and being outdoors. Come in and introduce yourself to Tiffany.

 

2017 CHAMBER BUSINESS OF THE YEAR WINNER

Red Wing Credit Union was awarded the Red Wing Chamber Business of the Year in the category of Employment Service, Financial, Insurance, Legal & Real Estate. Winner for the first time, the credit union received comments of praise on nomination forms including "Exemplary service,"and "Exceptional community service."

Red Wing Credit Union President, Aaron DeJong, said "The award was humbling for the staff and him. This honor was a great recognition of the work our staff does. We have a great team that takes pride in what we do and whom we serve. This recent recognition will continue to motivate our staff. This is a starting point, not an ending point. It is a call to arms for us to continue to perform and serve our members."

Front Row: Lori Anderson, Traci Sonju, Dawn Bitzan, Patti Killian, Cindy Betcher
Back Row: Barb Tesdall, Lynn Holm, Sandy Place, Linda Dietz, Katie Wang, Aaron DeJong, Sue Rusch, Kierstin Stelter, Emily Groetsch, Leah Dietz, Heidi Aslakson
Photo Credit: Samantha Bengs

Investment Corner by Rich Douglas

WHY DIVERSIFICATION MATTERS

When investing, particularly for long-term goals, there is one concept you will likely hear about over and over again - diversification. Why is diversification so important? The simple reason is it helps ensure your risk of loss is spread among a number of different investments. The theory is if some of the investments in your portfolio decline in value, others may rise or hold steady, helping to offset the losses.

DIVERSIFYING AMONG ASSET CLASSES

You might also consider including a mix of different types of asset classes - stocks, bonds, and cash - in your portfolio. Asset allocation is a strategic approach to diversifying your portfolio. After carefully considering your investment goals, time horizon, and risk tolerance, you would invest different percentages of your portfolio in targeted asset classes to pursue your goal.

WINNING ASSET CLASSES OVER TIME

The following table, which shows how many times during the past 30 years each asset class has come out on top in terms of performance, helps illustrate why diversifying among asset classes can be important.


ASSET CLASS

NUMBER OF WINNING
YEARS, 1987-2016*

CASH

3

BONDS

5

STOCKS

10

FOREIGN STOCKS

12

PREPARED BY BROADRIDGE INVESTOR COMMUNICATION SOLUTIONS, INC.

DIVERSIFYING WITHIN ASSET CLASSES

For example, say you wanted to invest in stocks. Rather than investing in just domestic stocks, you could diversify your portfolio by investing in foreign stocks as well. You could choose to include the stocks of different size companies (small-cap, mid-cap, and/or large-cap stocks).

If your primary objective is to invest in bonds for income, you could choose government and corporate bonds to potentially take advantage of their different risk/return profiles. You might also choose bonds of different maturities, because long-term bonds tend to react more dramatically to changes in interest rates than short-term bonds. As interest rates rise, bond prices typically fall.

INVESTING IN MUTUAL FUNDS

Because mutual funds invest in a mix of securities chosen by a fund manager to pursue the fund's stated objective, they can offer a certain level of "built-in" diversification. For this reason, mutual funds may be an appropriate choice for novice investors or those wishing to take more of a hands-off approach to their portfolios. Including a variety of mutual funds with different objectives and securities in your portfolio will help diversify your holdings that much more.

Mutual funds are sold by prospectus. Please consider the investment objectives, risks, charges, and expenses carefully before investing. The prospectus, which contains this and other information about the investment company, can be obtained from your financial professional. Be sure to read the prospectus carefully before deciding whether to invest.

For more information, stop in at the Red Wing Credit Union or call Barb at 388-7133 to schedule an appointment today!

Rich Douglas
651-267-4239

*Performance is from December 31, 1986, to December 31, 2016. Cash is represented by Citigroup 3-month Treasury Bill Index. Bonds are represented by the Citigroup Corporate Bond Index, an unmanaged index. Stocks are represented by the S&P 500 Composite Price Index, an unmanaged index. Foreign stocks are represented by the MSCI EAFE Price Index, an unmanaged index. Investors cannot invest directly in any index. However, these indexes are accurate reflections of the performance of the individual asset classes shown. Returns reflect past performance and should not be considered indicative of future results. The returns do not reflect taxes, fees, brokerage commissions, or other expenses typically associated with investing. The principal value of cash alternatives may fluctuate with market conditions. Cash alternatives are subject to liquidity and credit risks. It is possible to lose money with this type of investment. The return and principal value of stocks may fluctuate with market conditions. Shares, when sold, may be worth more or less than their original cost.

U.S. Treasury securities are guaranteed by the federal government as to the timely payment of principal and interest, whereas corporate bonds are not. The principal value of bonds may fluctuate with market conditions. Bonds are subject to inflation, interest rate, and credit risks. Bonds redeemed prior to maturity may be worth more or less than their original cost. The risks associated with investing on a worldwide basis include differences in financial reporting, currency exchange risk, as well as economic and political risk unique to the specific country. Investments offering the potential for higher rates of return also involve higher risk.

Registered Representative, Securities offered through Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Investment Advisor Representative, Cambridge Investment Research Advisors, Inc., a Registered Investment Advisor. Cambridge and Retirement Solutions are not affiliated. Investments not NCUA insured, not credit union guaranteed, may lose value.

"These are the opinions of Rich Douglas and not necessarily those of Cambridge, are for informational purposes only, and should not be construed or acted upon as individualized investment advice. Diversification and asset allocation strategies do not assure profit or protect against loss. Indices mentioned are unmanaged and cannot be invested into directly. Past performance is not a guarantee of future results."

Contact Us
  • Red Wing Credit Union
    3303 North Service Drive
    Red Wing, MN 55066
  • Phone: 651-388-7133 or 1-888-388-7133 (toll free)
    Fax: 651-388-7137
Hours
  • Lobby:
    8:30 a.m. - 4:30 p.m., Mon - Fri
    8:30 a.m. - Noon, Sat
  • Drive-Up
    8:30 a.m. - 5:00 p.m., Mon - Fri
    8:30 a.m. - Noon, Sat


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