Meridian's fund, annuity program reaching wide range of investors.

Blue collar workers and Amish investors are supplying steam for Meridian Bancorp's new mutual fund and annuity sales effort.

Indeed, the bank's investment product program is successfully wending its way through Pennsylvania Dutch country, steel towns, and urban centers.

About $80 million of investment products have been sold under the fledgling program during the last six months, according to Richard D. Munoz, product manager of the Reading, Pa., bank's retail investment-product division.

Of that amount, about $20 million was placed with Meridian's own family of Conestoga mutual funds,

Low Rates Spurred Program

Meridian had - literally - a billion reasons for entering the investment product business last spring, Mr. Munoz said. That's how many certificate of deposit dollars were coming due over a three-month period.

"We needed alternatives because rates were so low," Mr. Munoz said.

Not wanting to use its own brokerage and sales staff, Meridian chose Independent Financial Marketing Group to supply these services.

The White Plains, N.Y., company hired 40 sales representatives and held training classes for nearly 900 branch employees.

"We wanted everyone to be familiar with the program," said Independent Financial managing director Rod Halvorson.

After winning over the in-house audience, independent Financial set about convincing customers to consider investment products.

Conservative Investors

Meridian's customer base includcs hundreds of Amish residents who often pull up to branches in horse drawn carriages and who are not known as risk takers.

"You wouldn't necessarily call them go-go investors," said Craig Deery, sales manager for the Amish region in rural Pennsylvania.

When the Amish do venture into alternative products, they steer towards more conservative offerings like tax-free bonds and money market accounts, Mr. Deery said.

Meridian also markets to the blue collar market, as well as the blue bloods of mainline Philadelphia.

Each customer segment has its place at a bank whose own culture crosses borders, Mr. Munoz said."

Trade Group Offers

Mutual Fund Course

The Investment Company Institute has developed a new training program to familiarize bank personnel with all aspects of mutual funds.

The course, which operates from a personal computer, is divided into six modules.

The units describe mutual funds, the kinds of securities they hold, and how they are organized, priced, regulated, and sold. Transaction fees and other expenses, as well as performance measures, are also discussed.

Trainees must pass a final exam to complete the 12- to 14-hour course.

The fund industry's "continuing expansion and increasing work force" spurred the trade group to develop the program, said Matthew P. Fink, its president.

Banks can review a demonstration disk before ordering the program. The course costs $135 for ICI members, and $250 for nonmembers.

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