Qtrade Financial Group and First West Credit Union, both headquartered in Vancouver, announced on Monday that they have extended their partnership agreement to 2019.
Qtrade has worked with First West, or one of its divisions, since 2008. In 2011, the two companies developed their partnership further and allowed First West’s financial advisors to take advantage of Qtrade’s wealth management tools and training in order to better serve the credit union’s members. The arrangement has proved to be very successful for First West, according to the credit union’s CEO, Launi Skinner.
“This is a new model we started last year and net assets grew by almost nine per cent [in 2012], well above the industry average last year of about three per cent,” says Skinner. “So, just a classic example of where the partnership has really paid off.”
Another reason why First West decided to extend its partnership agreement with Qtrade is Levis-Que.-based Desjardins Group’s recent investment in the company.
“Desjardins is one of the leading co-operative groups across Canada [and] in the credit union system across Canada they are highly respected, highly regarded,” says Skinner. “So, we thought that was a natural fit and created a comfort and certainty for our future.”
In February 2013, Desjardins announced its intention to purchase 40% of Qtrade shares. The transaction was completed earlier this month. In addition to the share purchase, three Desjardins executives now sit on Qtrade’s board of directors. The acquisition is part of Desjardins ongoing strategy to bolster its presence outside the province of Quebec.
Desjardins completes Qtrade share acquisition
First West is the third largest credit union in B.C. with $7.1 billion in assets under administration, more than 171,000 members and 40 branches in operation throughout the province. Qtrade offers brokerage and wealth management platforms, services and solutions to retail clients.