Finch Launches Industry-First All-in-One Checking and Investing Platform
Focused on Financially Empowering a Generation and Helping to Close The Wealth Gap, Finch Enables Customers to Earn Investment Returns Directly on Their Balance, While Retaining Instant Access to Their Money - Even The Invested Part!
Nov 10, 2020, 08:15 ET
NEW YORK, Nov. 10, 2020 /PRNewswire/ -- Finch, a fintech startup that integrates the benefits of investing and the flexibility of checking into a seamless all-in-one account, has today announced its official launch on the Apple App Store. Backed by leading investors in Fintech and Global Banking, Finch is designed to help millions of Americans unlock the benefits of investing, develop healthy financial habits, and take steps towards financial freedom.
Finch's innovative platform reinvents the traditional checking account by incorporating the power of investing and putting your money to work more effectively. Finch lets customers earn investment returns by automatically investing their checking balance into a portfolio designed to match their unique risk profile. This means your entire balance is always working for you, from day one, no matter what your balance is. Finch further pushes the envelope by enabling customers instant access to their money when they need it - even the invested part!
Core Difference in the Finch Approach
The last ten years have seen the advent of fintech players challenging the status quo. By introducing commission-free trading, fractional investing, and removing account minimums, they have helped simplify 'traditional' product offerings. However, despite these innovations, three out of five millennials still aren't investing, indicating that an even simpler solution, one that doesn't require a major change in behavior to generate greater financial results, is needed.
Finch does just that. Finch creates a whole new product category that sits at the intersection of banking and investing, providing a unique way to unlock the opportunity for greater financial growth within the familiar environment of an everyday account.
"We knew that to help the millions of underserved Americans kick-start their journey towards building a healthy and happy financial future, we needed to create a solution that would help customers unlock the benefits of investing without having to significantly change their behavior. The approach and entire experience needed to be as frictionless as possible, and the platform itself unique in value yet familiar. Recognizing that the majority of millennials leave their balances sitting idle in their checking account, we created Finch to help customers optimize their checking balance by integrating the benefits of investing all into one place," said Neel Ganu, Founder of Finch.
Finch offers two portfolios: Stable and Growth.
The Stable portfolio consists of cash and a mix of ETFs that invest in short-term government and corporate bonds. The goal of this portfolio is to allow you to dip your toes into investing while aiming to preserve your capital. This portfolio gives you the potential to earn a return marginally greater than, but comparable to, what you would earn in a high yield savings account. Over the past ten years, a simulated Finch account invested in a typical Stable portfolio would have earned 9.0x more than a checking account and 1.8x more than a high yield savings account.
The Growth portfolio consists of cash and a mix of ETFs that invest in US large stocks and bonds. The goal of this portfolio is to help you to unlock the benefits of investing and build long term wealth. Over the past ten years, a simulated Finch account invested in a typical Growth portfolio would have increased your balance by 33%.
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Also, as a reflection of Finch's values, and growing importance to Millennials, they also offer a sustainable version of the growth portfolio that invests in companies that have a positive environmental impact, are socially responsible, and commit to high governance standards.
Support from Early Stage Customers and FinTech Community
"For Millennials that live paycheck to paycheck, it can be difficult to get started with investing, let alone optimize a financial portfolio," said Matthew Rhodes-Kropf, MIT Sloan Professor, and Managing Partner at Tectonic Ventures. "Instant access to your invested balances is unprecedented, and a game-changer for personal finance. Finch's innovative platform makes investing an accessible option for this group, which is an opportunity that has been out of reach - until now."
"I'm excited about Finch. As someone who's built an app for saving, and an app for investing, I see Finch putting those two things together in a very simple way," said David Ronick, Co-founder of Stash. "Finch allows the money you put in your account to actually help you generate returns. The Finch team is smart, humble, tenacious, and has a strong sense of purpose to help close the wealth gap in a unique and simplified way that's needed in the market. Now more than ever."
Core Finch Features
Finch customers will benefit from its innovative core functionality, including:
- Seamless All-in-One Account
Finch is a productive everyday account that integrates the benefits of investing and the flexibility of checking
- Simple Automatic Investing
Finch automatically invests your entire balance into a diversified portfolio of exchange-traded funds (ETFs), so your money is always working for you
- Instant Access to your Money
Finch ensures you always have access to your money when and where you need it! Even the invested part
- Personalized Investment Recommendations
Finch reduces the complexity of investing and provides portfolio recommendations that best suit your needs
Finch offers a range of additional benefits, including:
- No account minimums
- No hidden fees
- Direct deposits
- Free ACH payments
- Debit card with remote lock features
- Global ATM access and free withdrawals at over 55k ATMs in the US
- Backed by a FDIC insured bank and a SIPC insured broker dealer
Finch is Now Available
Finch is available to download from the Apple App Store.
Visit www.finchmoney.com for more information.
Finch, formally known as Trio, is an all-in-one checking and investing account that lets customers earn investment returns by automatically investing their checking balance into a portfolio designed to match their unique risk profile. Finch further pushes the envelope by enabling customers instant access to their money when they need it. Based in New York City, Finch was founded by Neel Ganu, a financial services maven who was N26's first US employee. Finch was announced a Top Pick at TechCrunch Disrupt 2019 and was part of the 2019 Barclays Accelerator, powered by Techstars, New York. Finch is a registered investment advisor. For more information, visit www.Finchmoney.com
Trio Financial Technologies Inc., is doing business as 'Finch'. Advisory services are provided by Trio Advisors, Inc., doing business as Trio App Advisors, Inc. an SEC-registered investment adviser. Stated quotes are personal opinions of industry experts that are not affiliated with Finch. The bank services are provided by Synapse's bank partners, Members FDIC. The Finch Mastercard® Debit Card is issued by our partner bank pursuant to a license from Mastercard International Incorporated. Trio App Advisors, Inc. works with a partner broker, Apex Clearing Corporation, who is a member of FINRA/SIPC, which protects securities of its members up to $500,000 (including $250,000 for claims for cash). For details, please see sipc.org. Any uninvested cash or investment allocation to the Finch cash sweep is swept into an interest-bearing FDIC-insured deposit account opened by Finch's partner broker at a participating bank and is eligible for FDIC insurance up to the standard limit of $250,000 per account holder, per institution. Non-deposit investments are not FDIC insured and may lose value. Investing involves risk including loss of principal. Please consider, among other important factors, your investment objectives, risk tolerance and Finch's pricing before investing. Past performance does not guarantee or indicate future results.
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