Investing

Following the Rule of 72, potentially double your Market Savings deposit in less than 8 years

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Rule of 72 shows you should double your deposit in 8 years

How long does it take an investment to double in value? Meet the Rule of 72. This is a simplified equation used to estimate the number of years an investment may take to double at a given annual rate of return.

The Rule of 72 states that you can get an estimate of how long a sum of money will need to double by dividing 72 by the rate of return: 

72 / (annual return) = (years for principal to double) 

An example: An investment with a 9% annual return, means your money should double every 8 years.  

The Rule of 72*

YEARS 9% 
$10,000 
$19,926  
16 $39,703
24 $79,111   
32 $157,633 
40 $314,094 

We believe savings accounts should give you that kind of return, not just risking your money in the market, thus why we created the Market Savings program, which combines the safety of an FDIC-insured bank account with the return potential from investing in the market.  

The core investment philosophy of Save is to generate stable returns on savings or deposit instruments and other cash accounts using market investments that do not require any customer outlay of capital but, rather, utilize the economic value of that cash or cash transactions as its principal. 

That economic value could be due to interest that the customer forgoes or savings in fees that would have otherwise been paid directly or indirectly on customers’ transactions. Those external revenues to the customers’ savings/spending are used to finance the investment and ensure it doesn’t lose value.  

Save can achieve such high return potential1 by investing on your behalf in a diversified market portfolio based on your risk preferences. While typical investments in the market can be risky, your Market Savings deposits are FDIC-insured2, meaning 100% of it is protected to the maximum allowed by law.  

That’s what makes it so unique — you get the security of a bank account and the earning potential of an investment portfolio. Maximizing your current savings account’s earning potential will help you build wealth faster. 

The chart below breaks down the Rule of 72 for other return rates compared to the Market Savings program’s 9% average annual return:1 

Rule of 72 Rate Comparison*

YEARS 1% 3% 9% 
$10,000   $10,000   $10,000  
$10,829   $12,668   $19,926  
16 $11,726   $16,047   $39,703  
24 $12,697   $20,328   $79,111  
32 $13,749   $25,751   $157,633  
40 $14,889   $32,620   $314,094 

Your choice: 24 years with traditional savings accounts or a little over 8 with the FDIC-insured 5-year Market Savings term.  

To get an even more accurate comparison with interest rates that fall outside of 6-10%, the Rule of 72 changes. In these cases, you can utilize this compound interest calculator from the SEC to calculate how much your money can grow. 

* This table serves as a demonstration of how the Rule of 72 concept works from a mathematical standpoint. It is not intended to represent an investment. The chart uses constant rates of return, unlike actual investments which will fluctuate in value. It does not include fees or taxes, which would lower performance. It is unlikely that an investment would grow 10% or greater on a consistent basis. 

1 Average annual returns reflect the most recent deposit rates and are based on hypothetical back-tested performance in the Save Moderate Portfolio from 2006 to present and are shown net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. For client accounts, the average annual return percentage calculated across the full term length of investment will never reflect returns of less than 0%. Calculations of average annual returns based on hypothetical back-tested performance across any term length of investment of one (1) year or greater are based on an assumption of sequential reinvestment of the principal and any returns of each such security into a new hypothetical strategy-linked security effective on the maturity date of the predecessor security. All return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see https://joinsave.com/hb-moderate.

2 To obtain FDIC insurance coverage, customer funds provided will be deposited into non-interest-bearing accounts at Webster Bank. FDIC insurance coverage for funds deposited at Webster Bank is limited to not more than $250,000 per depositor, per FDIC-insured bank, per ownership category. Actual deposit insurance coverage may be lower if you have other funds deposited at Webster Bank, N.A. Customers are responsible for determining the amount deposited in each account at Webster Bank, N.A., and for monitoring the total amount of their deposits at Webster Bank, N.A., to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. Learn more at: https://www.fdic.gov/deposit/deposits. Only the funds customers provide and deposit with Webster Bank, N.A. will be eligible for FDIC insurance.  Webster Bank is not providing any investment advice or responsible for the purchase or performance of any investment contracts. The funds held in the Apex Clearing Corporation accounts are not FDIC-insured, are not bank guaranteed, and may lose value with a minimum return of zero. Maximum balance and transfer limits apply. Neither Save Advisers, LLC, nor its affiliates, are a bank. Apex Clearing Corporation is a member of the Securities Investor Protection Corporation (“SIPC”), formed by Congress to protect “customers” of broker-dealers and to promote public confidence in the U.S. securities markets. Customers of a SIPC Member that fails financially are afforded certain benefits under the Securities Investor Protection Act (“SIPA”). These benefits are relevant only if the broker-dealer that “carries” a customer’s account fails and is liquidated under SIPA. At Apex Clearing Corporation, your investments are protected by SIPC up to a maximum of $500,000 total, including $250,000 in cash balances. Coverage limitations apply. To learn more about SIPC coverage, visit the SIPC website at www.sipc.org. 

How the Wealth Card’s return potential can cover the annual fee

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Woman smiling about her Save return potential

The world’s first high-yield credit card packs a lot of value. Find out how the return potential makes it worth a spot in your wallet despite the annual fee.

Customers deserve better economic value from their credit cards. 

That’s why Save is partnering with Visa to launch its first credit card — the Save Wealth Card.  

Instead of offering cashback or air miles, the Wealth Card replaces rewards with investments. With an annual return potential of 6%¹ on every single purchase, your earning potential exceeds what leading premium credit card rewards programs deliver (Figure 1). 

A chart showing the return potential comparison between the Save Wealth card versus other premium cards.
Figure 1: Comparison between the Save Wealth Card versus other premium cards.4

The card also comes with many other rewards like a signup bonus of $10,000 in equivalent portfolio investments² and a chance to increase your average return potential up to three times when you shop from brands like Tesla, Electrify America, SoulCycle, Amazon, Whole Foods, and more. 

But what does this mean in terms of dollar value? 

Let’s find out. 

Signup bonus of $10,000 in equivalent portfolio investments² 

Early adopters will get a signup bonus of $10,000 in equivalent portfolio investments² just for signing up for the Wealth Card. Referrals and bonuses like this have an average 3% return potential.5

Let’s break down what this means: 

Once your credit application is approved, at the next trade date, Save adds $10,000 in equivalent investments² to your personalized investment portfolio.

Assuming the average 3% return potential is met, your returns will be about $300 after a little more than a year.¹

Any returns (minus Save’s 0.35% management fee if the annual return is greater than 0.35%) are yours to keep.

For the first year, the annual fee for each card—$750 for the Premium Wealth Card and $300 for the Plus Wealth Card—could be covered up to 40% and 100%, respectively.¹ 

6% return potential on every purchase¹  

Unlike most premium credit cards, the Wealth Card has no category restrictions, exclusions, or cap on returns. Every dollar you spend is eligible for investment matching. This means that you can turn your monthly credit card bill into an investment. Assuming a 6% annual return potential¹ is met, here’s what your returns can look like, depending on your average monthly spend: 

Monthly credit card spendingMonthly earning potential¹Yearly earning potential¹
$1,000 $60$720
$2,000 $120$1,440
$3,000$180$2,160

According to the return potential in the table above, spending just over $1,000 each month can almost cover the $750 annual fee of your Premium Wealth Card. 

If credit cards are your preferred spending method, chances are you’re spending more than that. With the Premium Wealth Card, you can earn more from the money you’re already spending. 

Triple the return potential on some preferred brands 

A 6% return potential on everyday spending is great.¹ An 18% return potential3 is even better. 

The Premium Wealth Card rewards you with a higher return potential from your investments when you purchase from preferred brands. Whether you’re a frequent Amazon shopper or a devoted Peloton member, there are many ways to earn more.  Let’s take a look at how much you could earn with preferred brands using the Premium Wealth Card:

Brand Purchase Return Potential3 Annual Earning Potential3
Amazon $12.99/month Prime membership, Average annual spend for members is $1,000 9%$14.02 (Prime membership), $90 (annual purchases)
Peloton$39/month all-access membership18%$84.24
Apple$1,999 MacBook Pro 12%$239.88
Whole Foods$200 grocery run 9%$18

These are just a few examples of what your investment earning potential can look like. Click here to see all of Save’s preferred brands. 

So, does the Save Wealth Card deserve a spot in your wallet? With potential returns like these, it’s easy to see how the rewards and benefits of the Wealth Card can outweigh those offered by other premium credit cards.

¹ For the Save Wealth Card: Average annual returns are based on hypothetical back-tested performance of the Save Moderate Portfolio from 2006 to present and are net of fees. To achieve the return on the Save Wealth Card, Save purchases a strategy-linked security whose investment value is equal to two times the dollar spent. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. All return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see Hypothetical Back-testing.

² As a signup bonus for the Save Wealth Card, Save buys strategy-linked securities whose investment value is equivalent to $10,000. This special promotion is subject to change at any time. 

3 To achieve the potential returns for the Save Plus and Premium Wealth Card’s preferred brands, Save purchases strategy-linked securities whose value correlates with [or is determined by] desired portfolio returns. Save will increase each purchase of strategy-linked securities as necessary to create the client’s desired exposure needed to replicate the hypothetical back-tested performance return. For more detailed information please see Hypothetical Back-testing.

4 Average annual return of the Wealth Card is based on hypothetical back-tested performance in the Save Moderate Portfolio from 2006 to present. Return is net of the management fee of 0.79%. Hypothetical back-tested performance is not a guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. Save purchases strategy-linked securities whose investment value generates an average of the stated returns since inception. Card comparisons made based on public disclosures available by other issuers, assuming points are worth 1.5%, monthly spending of $3,500, and a $5,000 equivalent portfolio signup bonus for the Save Wealth Card, as well as, other signup bonuses for each respective card as of 11-23-2021.

5 Average annual returns are based on hypothetical back-tested performance in the Save Moderate Portfolio from 2006 to present and are shown net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. The return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see Hypothetical Back-testing.

Glimpse into Save’s product strategy and development directly from the team

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Financial products architect Mohamed El Hioum on investment strategy

Financial products architect Mohamed El Hioum has joined Save to further develop our accounts and portfolios, including an upcoming ESG investment strategy.

As Save continues to grow, we’re proud to introduce recently joined teammates to our customers and readers. This week, we’re bragging about Mohamed El Hioum joining as Save’s Director of Product Development. He’s providing insight into his role at Save and the projects he’ll help develop together with the team.

After studying engineering and applied math, Mohamed has spent over 20 years in the financial industry mostly working for international investment banks, creating, and trading investment products with institutional clients such as public pensions, insurers, and asset managers. He is also a CFA chartered holder.

This blog highlights his work and offers our customers insight into our diversified portfolio management and future product development.

1. What is your primary role at Save, and what attracted you to work at Save?

Mohamed: My role is to work with our partners and providers to expand Save’s account offerings. Our unique position and business model allow us to enhance existing financial products. Our accounts already enhance traditional savings accounts and debit and credit cards, but there’s potential to spread our strategies to other financial products, including insurance and loans.

2. How do you feel Save makes investing more efficient for people?

Mohamed: Most financial products have layers of fees, which means most investors don’t fully benefit from the powers of the financial markets. At Save, we leverage technology, innovation, and market access to allow a broader audience to access the benefits of investing.

Efficiency is only one of the benefits of our products. By coupling this with our innovative solution, our customers can appreciate the benefits of investing and plan their future with more confidence.

Save’s accounts center around our clients. While most financial products focus on incentivizing salespeople and the banks that offer them, we focus on benefiting our customers by investing what otherwise would have been fees to intermediaries. We even pass on collecting our management fee until the customers’ return exceeds our fees. This alone is a first in the industry.

3. How would you break down each of our portfolios for someone unfamiliar with investing?

Mohamed: Depending on a customer’s objectives and risk profile, they can allocate to either a growth, moderate, or conservative portfolio. Each portfolio is diversified into a multi-asset set of ETFs invested into global stocks, bonds, and alternative assets. The growth portfolio is most suitable for the more aggressive investment profile and dynamically allocates to 28 ETFs. The moderate portfolio adds allocation to US inflation-protected bonds in addition to the 28 ETFs, while the conservative portfolio doesn’t invest in highly volatile commodities. Each portfolio is reviewed regularly to ensure it meets its objectives.

4. Can you provide a brief highlight of what you’re developing for Save?

Mohamed: As I mentioned earlier, we are in the process of discussing a variety of new products, but in the short term, I am excited about adding our ESG portfolio to the investment options.

ESG stands for Environmental, Social, and Governance and, when applied to creating portfolios, it means that asset managers like myself are focusing on:

  • A company’s impact on the environment or the risks and opportunities associated with the impacts of climate change on the company, its business, and its industry.
  • A company’s relationship with people and the society, or whether the company invests in its community.
  • A company’s governance issues such as how the company is run and executive compensation.

The nature of our mission, which includes improving the planet, motivates us to include portfolios like this, along with our customers’ preferences. Many of our customers have asked if our portfolios focus on sustainable investing.

I’m happy to say that I’ll have a hand in developing Save’s ESG portfolio. This is just one way and we’re constantly evolving to meet our customers’ needs.

Financial and retirement tips for your 40s

FinanceInvesting
Man and woman walking and talking about retirement

It’s easy to use your age as a savings compass to point you in the right direction, but remember that you’re never too young or too old to save.

But not having a financial compass isn’t advisable.

“Not having a financial plan is actually just having a really bad plan,” Alexa von Tobel, founder and CEO of LearnVest.com in New York, told BankRate. “Every financial plan is specific to the individual, but you should look at your income and set priorities for paying off debt and saving for different needs.”

For those in their 40s, retirement should be at the forefront of their savings goals. To meet those goals, there are a few financial and retirement tips we can recommend.

Don’t give into lifestyle inflation

While we all would love to live like we’re Jay-Z and Beyonce on a yacht, we often can’t and it’s important to not fall into lifestyle inflation as you get older. Yes, you are more established in your 40s, likely with a well-paying job, and a handle on your debt, but it’s not the time to excessively improve your lifestyle and live beyond your means.

Don’t get us wrong. Treat yourself to a family vacation or small luxuries, but it’s important to not let reoccurring costs overcome you. As you eliminate debt, redistribute the monthly payments to your savings or retirement funds instead of upgrading and financing that new luxury vehicle.

Avoid panic selling

Now that you’re in your 40s, it might be easy to be tempted to panic sell when markets trend downward. Don’t panic sell because long-term investments typically do just fine. If you sell during a low, you may lose money.

If risking your money isn’t your thing, try using Save accounts. Save accounts are powered by savings and investment technology that provide much better return potential all while your deposits are FDIC insured.1

Save currently offers the Debit Invest card, which matches every qualified dollar a customer spends with a dollar of equivalent investment2 in diverse portfolios made up of stocks, bonds, and other assets accessed via ETFs.

The Debit Invest card’s annual average return potential is 2.96%3. While not an apples-to-apples comparative, Save’s Debit Invest card outperforms the best debit rewards programs. With the Discover Cashback Debit card, customers receive 1% cashback on up to $3,000 per month on their purchases, which equates out to $30. Even when looking at some cashback credit cards, like the Citi Double Cash Card, the Debit Invest card is nearly a percentage point higher or more in potential cashback in the form of investment returns.

Save’s next account to launch is the Market Savings account, which will also be FDIC insured.1 With this new account, the money you save will earn a potential return after a 12-month term. With average annual returns for the Premium account of 1.46%4 and 1.03%4 for the Core account, your chosen Save account has the potential to generate even more wealth.

Save expects their accounts to give you a return several multiples more than other high-yield interest savings accounts.

Refinance your house if mortgage rates have dropped

If your mortgage rate is higher than the average right now, you may want to consider refinancing, but make sure that you avoid refinancing to another 30-year loan—unless you want to be paying off the loan in your 70s. Just refinance for a term similar to what you already have left on your loan to save on the interest, but be sure you don’t pick a cash-out refinance because it often results in a longer loan term and higher costs.

And since your home may be among your most valuable assets, you’ll want to ensure your equity continues to rise as you make home improvements. When you are picking what project to tackle, be sure to compare the initial investment to how much value it will provide when you decide to sell.

Don’t tap into your retirement account for your kids’ college or weddings

The children will be fine. If you appropriately planned for their future by starting a 529 account in your 30s, then they’ll have the financial jumpstart needed to be supported through college. Also, there are plenty of scholarships and federal student loans they can look into when the time comes. When it comes to weddings, the COVID-19 pandemic has made elopements and smaller weddings, which mean more affordable weddings, much more acceptable.

After all, ensuring your future in your older age will only allow your children and potential future grandchildren to enjoy you in retirement and have less stress in supporting you as you age.

Maintain your emergency fund and other healthy financial habits

Having healthy financial habits is a lifestyle. It’s crucial to maintain the habits you started in your 20s and 30s throughout your 40s. Among them is maintaining your emergency fund. A hefty emergency fund will help unexpected expenses, of course, but you can also use it to fund expected expenses like your kid’s wedding or their first year of college—both of which you shouldn’t pull money out of retirement for.

This is the third post in a four-part series on how to save money and set money goals at certain ages. Read the tips for saving in you’re in your 20s and 30s, and return next month for the last post or follow Save on Twitter, LinkedIn, Facebook, or Instagram for updates.

1 To obtain FDIC-insurance coverage on your behalf, Save Advisers partners with various FDIC-insured member banks. The funds you provide will be deposited into accounts at one or more FDIC-insured partner banks. FDIC insurance coverage is limited to not more than $250,000 per qualified customer account per bank. Actual deposit insurance coverage may be lower if you have other funds deposited at the partner bank. You are responsible for determining the amount deposited in each account at the partner banks, and for monitoring the total amount of your deposits at each partner bank, to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. Learn more at: https://www.fdic.gov/deposit/deposits. Only the initial funds you provide will be deposited with the partner banks and will be eligible for FDIC insurance. Market returns are held in your Save account and are not FDIC-insured, are not bank-guaranteed, and may lose value. Maximum balance and transfer limits apply. Neither Save Advisers, nor its affiliates, is a bank. Apex Clearing Corporation is a member of Securities Investor Protection Corporation (“SIPC”), formed by Congress to protect “customers” of broker-dealers and to promote public confidence in the U.S. securities markets. Customers of a SIPC Member that fails financially are afforded certain benefits under the Securities Investor Protection Act (“SIPA”). These benefits are relevant only if the broker-dealer that “carries” a customer’s account fails and is liquidated under SIPA. At Apex, your investments are protected up to a maximum of $500,000 total, including $250,000 in cash balances. Coverage limitations apply. To learn more about SIPC coverage, visit the SIPC website at www.sipc.org.

2 For each qualified spend using the Save Debit Invest card, Save buys a strategy-linked security whose investment value is equivalent to the dollar spent. 

3 Average annual returns are based on hypothetical back-tested performance and are net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. The return figures shown are for informational purposes only and are not actual customer returns. Returns shown are reflective of being invested in the Save Moderate Portfolio from 2006 to present. For more detailed information please see Hypothetical Back-testing.

4 Average annual returns are based on hypothetical back-tested performance and are net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. Return on Savings Calculation: We assumed that the Core Bundle would appeal to the 60-79.9% percentile of the income distribution and the Premium Bundle would appeal to the 80-99.9% percentile. We then assumed that they would have the average savings account balance for that income bracket on the Market Savings account and the median transaction account balance as debit spend on the Debit Invest Card every month. From the Survey of Consumer Finance, 2019 – Core Inputs: Debit Invest Spending $2,500 per month; Savings balance $28,690. Premium Inputs: Debit Invest Spending $5,000 per month; Savings Balance $51,940. We calculated the returns on each of those products and used that to calculate the return on savings: return on debit in dollars plus return on savings in dollars divided by savings balance in dollars equals Return on Savings. All return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see Hypothetical Back-testing. Source: https://www.federalreserve.gov/econres/scfindex.htm

Debunking 3 common investing myths with Save®

Investing
Don't give into the myths of investing

Investing is a great way to reach your financial goals, but it can seem daunting at first. 

The truth is, everyone can become an investor and reap the rewards that come with it. You don’t need to be an expert or have a pile of cash at your disposal to invest.

And the sooner you do it, the better. According to a recent MagnifyMoney survey, 77% of Americans regret not having invested earlier in their life.  

Let’s shed some light on three of the common myths about investing that hold you back from growing your money. 

Myth # 1: You need a lot of money to get started

Investing may have felt like an exclusive club decades ago when not everyone could afford it, but that’s no longer the case. You don’t need to be a high-powered Wall Street broker or pay exorbitant commissions and fees to have someone invest for you. 

With Save®, you don’t even need to have extra cash or cut back on your spending to invest. When you make qualified purchases with the Save Debit Invest card, Save matches your spending dollar for dollar with equivalent investments,1 giving Save customers the potential for a much bigger return from their everyday spending.

In other words, the money you spend on restaurants, gas, or other qualified purchases gets turned into investments. For example, if you spend $2,000 on qualified purchases each month, Save invests $2,000 on your behalf.1 Based on an average return potential of 2.94%2, a single month’s worth of spending can generate $58 in investment returns (net of fees).

When it comes to fees, Save only charges a management fee of 0.59%, if your investment generates a return. If your returns are less than 0.59% that fee no longer applies.  

Myth # 2: Investing is too complicated and takes up a lot of your time 

With all the investment options available to you, how do you pick “the right” stocks? And the heavy investment jargon that’s being thrown around is enough to make your head spin. 

At the same time, finding the time to keep track of your investments feels like a luxury you don’t have. When you use Save, you don’t need to pick stocks or keep up with financial news. 

Your investments go into a portfolio of your choice which is managed by the Save team. All you have to do is choose a portfolio that best suits your investment goals and the level of risk you are willing to take by using Save’s Recommendation Tool during account sign-up. For example, if you’re a conservative investor, you might choose a well-diversified portfolio that avoids investing in commodities.

Once you’re all set, you can easily keep track of how your investments are performing by logging in to the Save App or Online Portal at your convenience. 

With the Save team looking after your well-diversified portfolio, investing is far less complicated and time-consuming. 

Myth # 3: Investing is not worth it – far too risky!

Does investing come with some form of risk? Yes. 

Does this make it not worth it? Not exactly. 

While investing is risky, there are ways to protect yourself against certain risks and keep your money safe. 

Here’s how Save looks after your investments: 

  • If your investment doesn’t perform well, you won’t lose your money. You just won’t see any returns for that period. 
  • In the event of zero returns or returns under 0.59%, you won’t be charged a management fee. 
  • Your checking account is FDIC insured.3
  • Save’s well-diversified portfolios help maximize your earning potential and minimize exposure to market volatility.

Save was specifically designed to give your investments a safer way to grow.

1 For each qualified spend using the Save Debit Invest card, Save buys a strategy-linked security whose investment value is equivalent to the dollar spent.

2 Average annual returns are based on hypothetical back-tested performance and are net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. The return figures shown are for informational purposes only and are not actual customer returns. Returns shown are reflective of being invested in the Save Moderate Portfolio from 2006 to present. For more detailed information please see Hypothetical Back-testing.

3To obtain FDIC-insurance coverage on your behalf, Save Advisers partners with various FDIC-insured member banks.  The funds you provide will be deposited into accounts at one or more FDIC-insured partner banks.  FDIC insurance coverage is limited to not more than $250,000 per qualified customer account per bank.  Actual deposit insurance coverage may be lower if you have other funds deposited at the partner bank.  You are responsible for determining the amount deposited in each account at the partner banks, and for monitoring the total amount of your deposits at each partner bank, to determine the extent of available FDIC insurance coverage in accordance with FDIC rules.  Learn more at: https://www.fdic.gov/deposit/deposits.  Only the initial funds you provide will be deposited with the partner banks and will be eligible for FDIC insurance. Market returns are held in your Save account and are not FDIC-insured, are not bank-guaranteed, and may lose value. Maximum balance and transfer limits apply. Neither Save Advisers, nor its affiliates, is a bank. Apex Clearing Corporation is a member of Securities Investor Protection Corporation (“SIPC”), formed by Congress to protect “customers” of broker-dealers and to promote public confidence in the U.S. securities markets.  Customers of a SIPC Member that fails financially are afforded certain benefits under the Securities Investor Protection Act (“SIPA”).  These benefits are relevant only if the broker-dealer that “carries” a customer’s account fails and is liquidated under SIPA. At Apex, your investments are protected up to a maximum of $500,000 total, including $250,000 in cash balances. Coverage limitations apply. To learn more about SIPC coverage, visit the SIPC website at www.sipc.org.  

8 reasons why it is a great time to get the Save® Debit Invest card

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Reasons why you should get the Save Debit Invest card

Debit card users, it’s time to make your spending work for you with cashback in the form of investment returns deposited directly into your Save® Debit Invest account.

Debit cards are the second most common payment method in the US, but most don’t offer rewards or cashback. The Save® Debit Invest card offers cashback in the form of investment returns, which is just one reason why it is a great time to consider changing your debit card to the Debit Invest card, instead.

Dollar-for-dollar matching on qualified transactions¹

When you make qualified purchases with your Save Debit Invest card, Save matches your spending dollar for dollar with equivalent investments, giving our customers the potential for a much bigger return from their everyday spending.

How it works:

  1. For every $1 you spend, Save invests $1 on your behalf.¹
  2. Your matched equivalent investments stay invested for a little more than a year.
  3. Then, once the investment matures, the returns from the investment (minus our fee) are deposited into your bank account as cash.

Based on hypothetical back-tested performance, Save estimates 2.95%2 average returns on matched equivalent investments. Hypothetically, if you spent $4,000 in one month on qualified investments, after a little more than a year, the equivalent investments made by Save would have the potential to return about $118. This cash would be deposited directly back into your Save account.

Earnings potential is unlike any other

If $118 back into your account doesn’t sound like much, we can dive into a few more hypothetical situations.

The Debit Invest card’s earnings potential is unlike any other. While not an apples-to-apples comparative, Save’s Debit Invest card outperforms the best debit rewards programs. With the Discover Cashback Debit card, customers receive 1% cashback on up to $3,000 per month on their purchases, which equates out to $30. Even when looking at some cashback credit cards, like the Citi Double Cash Card, the Debit Invest card is nearly a percentage point higher or more in potential cashback in the form of investment returns.

Ultimately, using the Debit Invest card gives users a chance to earn more—without changing their spending habits.

Keep your money secure with FDIC insurance3

Save doesn’t use customers’ money to match spending with investments. Read that again: Save doesn’t use customers’ money to match spending with investments.

All Save accounts are FDIC insured.3 The Debit Invest card allows Save to match customers’ spending through strong partnerships with banks and card issuers. Traditionally, interchange fees (this is normally a fee that banks and card companies charge the merchants per transaction) are charged between the card sponsor and the merchant, and most issuers keep that to offset their card program’s cost. Save has taken that traditional model and used it to their customers’ benefit by using the interchange fee to fund the investment matching.

Because of this process, Save’s customers can invest in their future while their cash stays safe with no need to sacrifice any aspects of their lifestyle to start saving.

Get thousands-worth of equivalent investments with referrals

Whenever a Save customer refers a friend or family member to open a Save account, they will each receive a bonus of $1,500 of equivalent portfolio investments5 after both have spent $250 in their respective accounts in a month. The referral program can potentially boost customers’ investment returns. This referral program is designed to be exceptionally rewarding and have strong upside potential for customers returns.

“Banks spend billions in advertisements. We’d rather provide a generous referral and pass the savings onto you and your friends,” said Michael Nelskyla, Save Founder and CEO. “These investments are additional money at work for you. They add to the overall potential of your investments, so you can get more from your Save accounts.”

No return, no fee

Figure 1: The Save® Conservative Portfolio Strategy consists of stocks, bonds, and other assets.
Figure 1: The Save® Conservative Portfolio Strategy consists of stocks, bonds, and other assets.

Another exceptionally generous aspect of Save is its no return, no fee policy.

Nelskyla and President and COO Adam Watts believe that fees should be fair and financial advisors should take responsibility for portfolio performance. Therefore, if Save’s investment portfolios don’t generate a return greater than the management fee of 0.59%, the customers don’t pay a penny in fees.

Clear investment dashboard to monitor your portfolio

Upon signing up, new customers designate their desired portfolio—conservative, moderate, or growth—based on their risk level.

Users can monitor their portfolio’s performance via the Save App or Online Portal. The dashboard (Figure 1 to the right) displays the composition of asset classes for the Conservative Portfolio. Save’s portfolios are designed for diversification, stability, and flexibility.

Multiple avenues to access Save Support

We all need a little help sometimes and Team Save wants to help current and prospective customers throughout researching, signing up for, and utilizing Save accounts. Save makes support easy by providing several avenues to reach the team for help.

Current and prospective customers can reach Save by the methods below:

Invitation to upcoming Save accounts

Debit Invest cardholders are automatically subscribed to account updates via their email, which is where Save shares promotion updates and new account offerings.

Among the new account offerings include the Market Savings account, where users’ money can actually grow with average returns of 1.46%5 with Premium and 1.03%5 with Core. Like the Debit Invest card, the Market Savings accounts are FDIC insured.

Additionally, Save communicates marketing promotions through their newsletters. Most recently, Save awarded $1,000 in equivalent investments to Instagram followers who posted a selfie as they made purchases with their Save card.

¹ For each qualified spend using the Save Debit Invest card, Save buys a strategy-linked security whose investment value is equivalent to the dollar spent.

2 Average annual returns are based on hypothetical back-tested performance and are net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. The return figures shown are for informational purposes only and are not actual customer returns. Returns shown are reflective of being invested in the Save Moderate Portfolio from 2006 to present. For more detailed information please see Hypothetical Back-testing.

3 To obtain FDIC-insurance coverage on your behalf, Save Advisers partners with various FDIC-insured member banks. The funds you provide will be deposited into accounts at one or more FDIC-insured partner banks. FDIC insurance coverage is limited to not more than $250,000 per qualified customer account per bank. Actual deposit insurance coverage may be lower if you have other funds deposited at the partner bank. You are responsible for determining the amount deposited in each account at the partner banks, and for monitoring the total amount of your deposits at each partner bank, to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. Learn more at: https://www.fdic.gov/deposit/deposits. Only the initial funds you provide will be deposited with the partner banks and will be eligible for FDIC insurance. Market returns are held in your Save account and are not FDIC-insured, are not bank-guaranteed, and may lose value. Maximum balance and transfer limits apply. Neither Save Advisers, nor its affiliates, is a bank. Apex Clearing Corporation is a member of Securities Investor Protection Corporation (“SIPC”), formed by Congress to protect “customers” of broker-dealers and to promote public confidence in the U.S. securities markets. Customers of a SIPC Member that fails financially are afforded certain benefits under the Securities Investor Protection Act (“SIPA”). These benefits are relevant only if the broker-dealer that “carries” a customer’s account fails and is liquidated under SIPA. At Apex, your investments are protected up to a maximum of $500,000 total, including $250,000 in cash balances. Coverage limitations apply. To learn more about SIPC coverage, visit the SIPC website at www.sipc.org.

4 For each successful referral, Save buys a strategy-linked security for each party whose investment value is equivalent to $1,500.

5 Average annual returns are based on hypothetical back-tested performance and are net of fees. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. Return on Savings Calculation: We assumed that the Core Bundle would appeal to the 60-79.9% percentile of the income distribution and the Premium Bundle would appeal to the 80-99.9% percentile. We then assumed that they would have the average savings account balance for that income bracket on the Market Savings account and the median transaction account balance as debit spend on the Debit Invest Card every month. From the Survey of Consumer Finance, 2019 -Core Inputs: Debit Invest Spending $2,500 per month; Savings balance $28,690. Premium Inputs: Debit Invest Spending $5,000 per month; Savings Balance $51,940. We calculated the returns on each of those products and used that to calculate the return on savings: return on debit in dollars plus return on savings in dollars divided by savings balance in dollars equals Return on Savings. All return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see Hypothetical Back-testing. Source:  https://www.federalreserve.gov/econres/scfindex.htm

Protect your wealth this holiday season with Save®

FinanceInvesting
This holiday, make investments while you shop.

The holiday season is the most wonderful time of the year, however, it’s also an expensive time of year.

A study of U.S. households conducted by Fortunly showed 22% of Americans believe that their Christmas spending will leave them in debt and that 46% of people have lied about liking a gift. With this in mind, could some of your holiday expenses put a strain on you or be a waste of your hard-earned money?

There are ways of ensuring every $1 you spend this holiday season is of value to you.

Five ways you can protect your wealth during the holiday season 

1. Ensure that they get what they want with gift cards

If 46% of people have lied about liking a gift, why take your chances? While gift cards aren’t the most imaginative gift to bestow on your loved ones, it ensures that they’ll eventually purchase something that they want. 

Gift card platforms, such as Raise, CardCash, and GiftCardGranny, sell discount cards to customers from a variety of retailers. Raise currently has Adidas $15 gift cards for up to 10.7% off, meaning you’re paying $13.40 for the $15 gift card.

Plus, with $65 billion of gifts at stake due to supply chain shortages, according to Quincus and the Centre for Economics and Business Research, going the gift card route can ensure you’re not anxiously waiting on a gift to arrive before December 25.

2. Save up each month in the 12-months leading up to Christmas

On average, Fortunly found US households spend $1,536 during the holiday season. When you break this down over 12 months, you need to save $128 per month, which is more manageable than a large lump sum of $1,536. Breaking up large purchases monthly is also a generally wise savings tip to follow.

3. Spend using your Save Debit Invest card

Once you have saved up for your favorite time of the year in your Save® account, use your Save Debit Invest card for your holiday shopping. For every $1 you spend on qualifying purchases, Save® will match and invest $1 of equivalent investments¹ on your behalf. This means that your $1,536 of qualified spending will also be matched and invested and that you have the chance of earning returns from the matched investments.

Assuming that you have chosen Save’s moderate investment profile, in a little longer than 12-months’ time, if the average annual return of 2.95%² is achieved, you will earn an investment return of $45.31, which will be deposited back into your Save account. 

An extra bonus to this product is the current promotion Save is running, where every qualified $1 spent is matched by Save with $2 of equivalent investments¹. This way, you can turn your holiday spending in December into your future savings.

4. Plan ahead for Christmas

If you can set aside a lump sum for future Christmas spending, open Save’s soon-to-be-launched Market Savings account. Deposit $1,536 for a 12-month term, and your money has the chance of generating an average annual return of 1.03%³ with the Core bundle and 1.45%³ with the Premium bundle, giving you a potential $15.82 extra for you to spend.  Learn more about the Market Savings account here. 

5. Set a realistic gift budget and stick to it

Leading up to the holiday season, realistically look at your expenses and decide on what you can afford for gifts and holiday travel. 

Then, when you have your budget, make a gift list and do research on potential price ranges so you’re able to know when you’ve found a good deal. 

No spending is worth the cost of post-holiday debt or financial woes due to overextending your finances during the holidays. You work hard to make your money, so make it count with smart financial strategies and utilizing Save accounts.

¹For each qualified spend using the Save Debit Invest card, Save buys a strategy-linked security whose investment value is equivalent to the dollar spent.

²Average annual returns are based on hypothetical back-tested performance. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. The return figures shown are for informational purposes only and are not actual customer returns. Returns shown are reflective of being invested in the Save Moderate Portfolio from 2006 to present. For more detailed information please see Hypothetical Back-testing.

³Average annual returns are based on hypothetical back-tested performance. Hypothetical back-tested performance is no guarantee of future performance and actual results will vary. Returns are subject to change daily. Minimum return will always be at least 0%. Return on Savings Calculation: We assumed that the Core Bundle would appeal to the 60-79.9% percentile of the income distribution and the Premium Bundle would appeal to the 80-99.9% percentile. We then assumed that they would have the average savings account balance for that income bracket on the Market Savings account and the median transaction account balance as debit spend on the Debit Invest Card every month. From the Survey of Consumer Finance, 2019 – Core Inputs: Debit Invest Spending $2,500 per month; Savings balance $28,690. Premium Inputs: Debit Invest Spending $5,000 per month; Savings Balance $51,940. We calculated the returns on each of those products and used that to calculate the return on savings: return on debit in dollars plus return on savings in dollars divided by savings balance in dollars equals Return on Savings. All return figures shown are for informational purposes only and are not actual customer returns. For more detailed information please see Hypothetical Back-testing. Source:  https://www.federalreserve.gov/econres/scfindex.htm

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