In today's unpredictable economic environment, every financial leader is chasing the same goal: to maximize return without inviting risk. It’s a delicate balancing act that credit union CEOs know all too well. Idle cash sits on the balance sheet, draining opportunity, but chasing yield too aggressively can tip the scales toward more risk.

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Fortunately, smarter investing doesn't have to mean riskier investing. With the right tools and strategy, credit unions can enhance returns without compromising security. So, how do top-performing credit unions do it? Acumen Financial Advantage’s unrivaled expertise in insurance and financial solutions means we deliver solutions that are not only cost-effective and flexible but uniquely designed to foster long-term growth and leadership in the credit union space.

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With a deep understanding of NCUA regulations and an unwavering commitment to client service, Acumen Financial Advantage ensures each strategy is customized to maximize impact and value:

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Structured Products – Diversified returns without excessive risk

CUOLI & Annuities – Stable, long-term financial planning

Liquidity Strategies – Smart allocations for maximum impact

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1. Structured Products: Market Exposure, Minus the Sleepless Nights

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Structured products are innovative tools that allow credit unions to optimize returns while balancing market exposure. Think of it as putting your capital to work, but with a seatbelt.

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Index Life structured products, including Indexed Universal Life (IUL) insurance policies, are financial instruments designed to provide investors with customized risk-return profiles. IUL policies offer a combination of life insurance coverage and a cash value component linked to the performance of a stock market index, such as the S&P 500. Policyholders can potentially benefit from market gains while being protected from market losses, making IULs attractive for those seeking both insurance protection and investment growth. 

• Principal Protection (at Maturity)
• FDIC Insured (up to $250,000)
• Unrealized Gain/(Loss)
• Variety of Index Options
• 0% Floor and capped upside (IUL)

By customizing structures that align with a credit union’s goals and risk tolerance, CEOs can generate attractive returns without veering into speculative territory. It’s a strategic upgrade to the traditional portfolio and a key element of smarter investing.

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2. Institutionally Priced Annuities: Predictable, Reliable Yield

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Institutionally priced annuities are a type of annuity contract that is typically available to institutional investors, such as pension funds, endowments, and large corporations. However, some insurance carriers also offer institutionally priced annuities to individual investors, providing access to institutional-level pricing and benefits. 

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Unlike retail annuities, these annuities offer lower fees and expenses thanks to the bulk purchasing power of institutional investors. They also offer risk management features, like downside protection strategies, to help safeguard against market volatility and longevity risk. 

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For CEOs who feel the pinch of inflation and low rates, annuities are an underrated powerhouse in the investment toolkit. They provide opportunities for long-term growth and limit the effect of sequence of returns risk, thus allowing investors to benefit from market appreciation and compounding returns over time, without the risk of loss.  

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3. CUOLI: Liquidity, Executive Retention, and Long-Term Growth

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Credit Union-Owned Life Insurance (CUOLI) has been gaining traction for good reason. It’s more than just an insurance product, it’s a strategic asset. This is a life insurance policy that a credit union purchases on the lives of its key employees, typically executives and top management. The credit union pays the premiums and serves as the beneficiary of the policy.

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CUOLI allows credit unions to invest in tax-advantaged accounts that generate steady, long-term returns. In addition to the death benefit, CUOLI policies accumulate cash value, which can be accessed by the credit union during the insured employee's lifetime to support strategic initiatives. By understanding the fundamentals and strategic applications of CUOLI, credit unions can effectively leverage this tool to achieve their organizational objectives while supporting the long-term success of their employees and members. As Kristin P. VanBeek, CEO of Rockland Federal Credit Union, can attest, Acumen Financial Advantage is the ideal partner to securely and effectively navigate these strategies with:

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"It has been a pleasure working with Acumen. The team made it easy to make progress and implement and executive retention program. Their attention to detail and ability to provide a variety of considerations and options made the experience extremely productive for the institution and executive team."

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4. Liquidity Optimization: Putting Idle Assets to Work

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Having cash on hand is crucial, but too much idle cash? That's a lost opportunity.

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The art is in finding that sweet spot: liquid enough to handle operational needs, invested enough to generate returns. Public investments, such as stocks, bonds, and mutual funds offer reliable returns and portfolio diversity with the safeguard of liquidity. With the right strategy, every dollar has a job to do. The goal is to keep capital moving, without sacrificing access or flexibility.

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Acumen Financial Advantage specializes in helping credit union CFOs map this out. Their liquidity optimization frameworks are designed to give institutions confidence and clarity around when, where, and how to deploy their funds.

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Putting It All Together: A Smarter Way to Grow

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Smart investing doesn’t mean gambling with members’ money. It means being deliberate, data-driven, and future-focused. The strategies that top credit unions are using, such as CUOLI, structured products, annuities, portfolio diversification, and liquidity optimization, all share one thing in common: they enhance yield without throwing risk management out the window.

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Balancing limited resources with ambitious goals is never easy. But for mission-driven Organizations like credit unions, achieving the highest possible return while minimizing costs is an everyday battle. At Acumen Financial Advantage, we realize every precious dollar invested is critical to funding your operations, your mission, and your future.

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What’s Your Go-To Yield Strategy?

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Every credit union is different. Your size, your goals, and your member base, all of it matters. But the core challenge remains the same: how do we do more with what we have?

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Whether you're sitting on too much cash or looking to make your executive benefits program more impactful, the tools are out there. The key is knowing how to use them and who to turn to for guidance. 

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So ask yourself:

• Are you making the most of your liquidity?
  
• Are your investment strategies aligned with your long-term goals?
  
• Are you getting the yield you need, without the risk you don’t?
  
  

At the end of the day, your balance sheet should be working for you. Every dollar is an opportunity to grow, to protect, and to serve your members more effectively.

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Acumen Financial Advantage crafts bespoke strategies that optimize talent retention, tailored to the distinct needs of each client. From attracting and retaining top talent with innovative SERPs to maximizing yields through expertly designed EBPs, our solutions are meticulously aligned with your institution’s long-term goals.

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Ready to explore what that could look like for your credit union?

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Let’s talk.

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Acumen Financial Advantage

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‍Acumen is not just a provider; we are your exclusive financial performance partner, dedicated to achieving unparalleled impact and success.