Revolut customers can invest in low-risk money market funds, which are usually only available to very large companies with more capital to invest.
Revolut, a global fintech company with more than 40 million private customers and hundreds of thousands of professionals worldwide., from today has its new service, Flexible Funds, with paid plans for business customers and in selected EEA markets, including Greece. With Flexible Funds, Revolut customers can invest in low-risk money market funds that are usually only available to very large companies with more capital to invest.
By expanding access to money market funds for paid plan customers through the Flexible Funds service, Revolut is helping Greek businesses fuel their future growth, is mentioned in the relevant statement.
With over 5% APY (floating) in USD, Flexible Funds can help businesses build cash reserves regardless of their stage of growth., but also for any type of case, such as acquisitions and reinvestments for tax payments and expense reimbursements. Over the past six years, the volume of mutual funds in the US money market has almost doubled. At the end of 2021, EU money market funds accounted for more than €1.4 trillion in total assets.
The announcement comes as interest rates and inflation remain high across Europe. In other words, businesses that don’t use their cash to generate revenue are actually at risk of making losses. Revolut Business customers in the EEA already deposit more than €5 billion per month into their current accounts.
With flexible means, Revolut Business customers can earn and receive earnings daily, add and withdraw money within two business days without fees or limits under normal market conditions, set access controls for all business employees and open up to 100 Flexible Fund accounts in available currencies (GBP, EUR and USD) with no minimum or maximum investment.
James Gibson, Head of Revolut Business, “At Revolut, we’re committed to our goal of simplifying everything about money, and for Revolut Business, that means making it easier for companies to scale and invest. Flexible Funds does just that, allowing our business clients to pool their funds and plan their future development. We’re really excited to make money market funds available to businesses of all sizes, not just those with huge cash reserves and asset managers.”
Flexible Funds is just one of the ways customers can use Revolut Business to strengthen their funds, manage currency risks and plan their future moves. Customers can also convert their funds at the interbank rate (based on program limits, during market hours) and protect their business from currency fluctuations through Forwards, i.e. locking in exchange rates to get a fixed rate for the future.
Revolut Business: designed to help businesses scale and save resources through multi-currency accounts, international payments and more efficient expense management, accessible through web, mobile and API applications.
It Revolut Flexible Funds invest in Constant Net Asset Value (CNAV) or Low Volatility Net Asset Value (LVNAV) money market funds, managed by FIL Investment Management (Luxembourg) SA, a subsidiary of Fidelity International, one of the world’s largest asset management companies. These money market mutual funds are ranked 7th in terms of risk, i.e. the lowest possible risk index.
Investments and cash are insured up to €22,000 by the Lithuanian Investor Liability Insurance Scheme. Users can easily find more details about where their money is invested by viewing the detailed status of the funds in the app and reading the key information document for each fund available in the app.