Wagestream partners with fintech Blossom to offer employees a targeted return of 3% per year
SYDNEY, August 1, 2022 /PRNewswire/ — Financial wellness fintech Wagestream has partnered with fixed-income micro-savings platform Blossom to offer employees a way to grow their savings by giving them access to the Blossom Fund which aims for a return on investment of 3% per year.
The one million global employees of Wagestream corporate clients will have the ability to access the Blossom Fund as an integrated savings option within the Wagestream app, with the minimum investment to invest in the Blossom Fund being $1.
Blossom’s micro-investment platform provides access through the Blossom Fund to a professionally managed portfolio of premium fixed income products aimed at achieving higher returns.
The Blossom Fund prioritizes ethical investments and excludes investments in coal, oil, gas and more, to respond to the growing trend towards investments that do no harm and create good in the world.
The Wagestream platform allows workers to track their earnings in real time and instantly access their earned wages, and counts well-known Australian brands among its customers, including Hungry Jack’s, Accor, JD Sports, BPay, Freedom and Pizza Hut.
Research conducted by Wagestream globally found that employers who offer the Wagestream Financial Wellness Program were able to fill vacancies 27% faster and reduce attrition by 16%, further validating the attractiveness of financial wellness programs for employees.
CEO of Wagestream Australia Josh Vernon said: “Wagestream is an important enabler of financial well-being, and saving is an essential step towards greater financial security. Many young earners face rampant inflation and rising costs for basic expenses. With interest rates still at historic lows and banks failing to effectively pass through rising interest rates for savers, it has never been harder to earn returns with less risk.
“Young people are also bombarded with buy-it-now, pay-later offers that create additional behavioral barriers to savings. % per year is exciting in this environment.”
Blossom co-founder Gaby Rosenberg said: “We share similar values to Wagestream, as well as a common goal to help improve the financial well-being of our customers. The core of financial well-being is the ability to cover an unexpected financial shock through your saving.
“We believe that financial wellness is one of the biggest stress points for many young employees. Giving these employees access to a solution that allows them to create a savings goal – and earn a return on their savings – will help solve this problem among young workers.”
Director of Human Resources at Hungry Jack jenny mckie said: “Employees these days are looking for more than just a paycheck. They want benefits that make a real difference in their daily lives and make their lives easier in general. That’s why we’re working with Wagestream and are excited about the partnership. with Blossom.”
Wagestream recently closed an A$236 million Series C funding round, believed to be the largest ever raised for a social impact fintech company.
Wagestream Australia and Blossom describe themselves as fintechs with a mission to improve financial well-being by giving young people access to fair financial services.
In line with millennial and Gen Z expectations, Wagestream Australia and BlossomApp also have a broader social focus: for every Blossom account opened, a tree is planted in a bushfire-affected region of Australia.
To date, over 1,800 trees have been planted.
Wagestream (www.wagestream.com/au/) is the financial wellness app founded by charities, designed for employees and built around compensation and making work more inclusive, fair and rewarding for one million people – by giving them access to fair financial services built around their salary. Workers use Wagestream to choose their own pay cycle, manage their budget, save for bad weather, chat with a personal financial coach, and get fairer deals on financial products – all in one app, with no changes to payroll.
Wagestream Australia is guided by a social charter: every service it provides must measurably improve financial well-being. Over 70% of people using Wagestream feel more in control of their money, resulting in a happier, healthier and more productive workforce.
Flower helps Australians save and invest their income, with targeted annual returns of 3% in the Blossom Fund. Blossom allows users to get started with $1 and has no registration or transfer fees. Blossom provides access to fixed income investments through the Blossom Fund, helping everyday Australians aim for higher returns. The Blossom Fund benefits from the services of Fortlake Asset Management Pty Limited, EY and JP Morgan. You can download its iOS or Android app or visit www.blossomapp.com to sign up.
Gleneagle Asset Management Limited (ABN 29 103 162 278 AFSL 226199) is the responsible entity for the Blossom Fund (ARSN 645 889 998). You should consider the relevant Product Disclosure Statement, together with the Target Market Determination, available at (www.blossomapp.com). Your savings are not held in a bank account and are subject to investment risk. BlossomApp Pty Ltd (ABN 29 103 162 278) is the authorized representative of Company No. 001284228 of Gleneagle Asset Management Limited.