Raisin, a European marketplace for savings and investment products, is introducing a savings plan for its line of ETF portfolios on its German platform WeltSparen.
Raisin’s customers in Germany will now be able to build their wealth starting at just EUR50 per month. The company is additionally lowering the one-time minimum required investment amount to start a WeltInvest portfolio to EUR500. WeltInvest is the result of WeltSparen’s cooperation with Vanguard as fund provider and DAB BNP Paribas. Vanguard is one of the largest providers of cost-efficient investment solutions worldwide.
With WeltInvest, consumers invest in globally diversified stocks and bonds with investment grade rating. Based on their risk/return preference investors select one of four available WeltInvest portfolios and then enjoy the benefit of automatic reinvestment of their earnings, flexible deposits and payouts at no additional cost, as well as an annual rebalancing of the portfolio. The low all-in cost of 0.49 per cent contrasts sharply with the German robo-advisor market average of 1.3 per cent, and WeltInvest’s low minimum first investment of EUR500 even more so with the average German minimum of around EUR9,500.
Through WeltInvest literally everyone can now participate in global capital markets. Just 12 months after launch, more than 5,000 customers have taken advantage of the WeltInvest offer, investing more than EUR100 million through the platform. Germany’s premiere consumer organisation Stiftung Warentest concluded soon after WeltInvest’s start in April of 2018 that the WeltInvest ETF portfolios were “a convincing investment idea.” Likewise, the German consumer portal Finanztip recently rated 32 robo-providers, recommending WeltInvest as the automated solution for self-directed investors.
Raisin’s savings plan offers investors full flexibility. WeltInvest customers can set up a customised savings plan, online and from the comfort of home, with no additional cost and starting from EUR50 per month. With no minimum term, they are free to end their plan whenever they want. “With this new savings plan and the lowered minimum investment, we are able to give even more investors a simple way to access a professional portfolio,” says Dr Til Rochow, Head of Investment Products at Raisin/WeltSparen. “Even small monthly contributions will grow over time with the WeltInvest savings plan. We want to offer our customers the perfect solution to build their wealth and prepare for retirement.”
Vanguard’s Head of Germany and Austria Sebastian Külps, adds: “Through our partners at Raisin, investors are empowered to start growing their wealth even by putting very small amounts into a globally diversified portfolio consisting of Vanguard ETFs and index funds. We’re thus joining forces with Raisin to pursue the vision of Vanguard founder (and the inventor of index funds) John Bogle, to democratise investing for everyone: ‘when there are multiple solutions to a problem, choose the simplest one and keep cost in mind.’”
