15 June 2020
I started StashAway back in 2016 when I couldn’t find a bank or fund manager that would invest my savings the way I knew was possible – personalised, transparent, inexpensive, and without unnecessary lock-up periods.
Our team set out to provide individuals with the tools and experience their money needs, and we started by offering intelligent investment portfolios of varying types and risk levels. Now, we’re enhancing yet another aspect of your personal financial plan: your cash management.
I’m excited to announce StashAway Simple™, our cash management portfolio.
With StashAway Simple™, you can earn a projected rate of 3.3% p.a. on any amount, without any of the hoops banks make you jump through to get a return on your savings. These include:
credit card, GIRO or investment requirements;
minimum balances or maximum amounts eligible for earnings;
tiered earning structures;
lock-up periods; or
any other confusing conditions.
And, did I mention that we don’t charge you any management fees for the portfolio? There’s really no catch!
So whether you haven’t gotten around to investing with us, or you’ve been investing with us for years, now you have another wealth management tool to maximise your long-term wealth.
✔ No minimum balance
✔ One projected rate for whatever your balance is
✔ No credit card, spending, or investment requirements
✔ No lock-up period
✔ Unlimited withdrawals and transfers
✔ No management fees
You won’t get this with any bank, we promise. It’s cash management, like it should be.
Everyone. Cash management should be part of any well-rounded financial plan, no matter your net worth and risk tolerance. Having a low-risk, rate-accruing cash management strategy protects your money from losing too much of its value to inflation. It also protects the money you’ll need for any upcoming big purchases from market volatility (the last thing you’d want before buying a house is for your investments to drop with the markets).
You can use Simple to prepare for your short-term goals, such as:
getting ready to make a downpayment on a property;
setting aside money for an emergency fund; or
waiting to invest your money into any of our investment portfolios.
The cash management space in Malaysia is messy with restrictions and fine print that make growing cash tedious at best. Ironically, in Asia, where saving is so deeply ingrained in many of its cultures, cash management options benefit the institutions that structure them more than their own clients.
Most savings accounts have confusing tiered interest rates that require customers to satisfy multiple criteria, including salary credits, credit cards, and minimum monthly spending.
Fixed deposit accounts currently have rates that range from 1.5% to 2.3% p.a., but lock up deposits for up to 36 months.
While other cash management offerings might advertise higher projected returns, they could be investing in funds that take more risk with your cash.
We designed StashAway Simple™ to keep your cash secure even in the most volatile market conditions. Simple is invested in a money market fund and enhanced liquidity fund, which have stable net asset values. We don’t use short-duration bond funds in Simple because their fluctuating net asset value exposes your cash to risk.
StashAway Simple™ is an investment, so there is a level of risk, but it’s incredibly low. We designed it to be an ultra-low risk cash management portfolio. The underlying fund in StashAway Simple, AmIncome Fund, is a short to medium-term fixed income fund issued by AmFunds Management Berhad that invests in money market and other fixed income instruments.
In fact, StashAway Simple™ hasn’t seen a single month of negative returns since its inception in 2020, no matter the interest rate and economic environment.
No, it can change as the economy grows or contracts. Our investment team reviews Simple’s projected return with the underlying fund managers, and we update the projected rate periodically to maintain the highest possible rate within a given economic environment. We will always notify you ahead of a change in the projected rate.
Yes! You don't have to invest with us to open a Simple account. Your balance in your Simple portfolio isn’t included in your AUM when we calculate your investment portfolio management fees.
Transfer. That’s it. No lock-ups, minimum deposits, investment requirements, dances, or hoops. The rate you earn on your amount in your Simple portfolio accrues daily so you can also withdraw at any time without losing the returns you’ve earned on your Simple portfolio.