A first of its kind in Ontario; global impact investment product launches today
KITCHENER, ON – Mennonite Savings and Credit Union (MSCU) and Oikocredit Canada have teamed up to launch the Oikocredit Global Impact GIC. For the first time ever, people in Ontario will be able to invest in a guaranteed, RSP-eligible investment aimed at lifting people out of poverty in low-income countries.
“We are thrilled to be offering this innovative new investment opportunity,” said Brent Zorgdrager, chief executive officer of MSCU. “Our commitment to our members is to offer values-based products that make our world more just, peaceful, and prosperous.”
“We know that Canadians and Ontarians want investments that directly benefit people and communities,” said Eugene Ellmen, National Director of Oikocredit Canada. “However, offerings in this area are very limited. Being able to contribute to global impact through personal investments is very exciting and begins to fill a big gap in the marketplace.”
Investments in MSCU’s Oikocredit Global Impact GIC are guaranteed by the Deposit Insurance Corporation of Ontario (DICO) and are eligible for non-registered investments and registered accounts in RRSPs, RRIFs and TFSAs. The GIC is being offered as a 12 month term at an initial interest rate of 1.30%. It is available to any individual or institutional investor in Ontario who is a member of the credit union. When members invest in the GIC, MSCU purchases shares in Oikocredit that match the principal amount, thereby providing funds to support impoverished communities across low-income countries.
About Mennonite Savings and Credit Union
Mennonite Savings and Credit Union (MSCU) is a financial cooperative providing everyday banking services to over 19,750 members in communities across southern Ontario. It has more than $950 million in assets under administration and ranks eighth among credit unions in Ontario. MSCU has eight full-service branches and five sub-locations offering a complete range of daily banking, investment and loan products.
Oikocredit Canada is the Canadian arm of Oikocredit, a global co-operative and social investor providing loans and investments to partner organizations in low-income countries. Oikocredit mainly invests in microfinance, agriculture, co-operatives, fair trade organizations and renewable energy. In September 2014, it had total capital outstanding of € 653 million (CAD $919 million) in 811 partners across 63 countries. Oikocredit is one of the world’s largest private investors in microfinance.