SYDNEY, Aug. 1, 2022 /PRNewswire/ — Financial wellbeing 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 targets 3 percent per annum return on investments.
The 1 million global employees of Wagestream’s business customers will have the opportunity to gain access to the Blossom Fund as an embedded savings option within the Wagestream app, with the investment minimum to invest in the Blossom Fund being $1.
Blossom’s micro-investing platform offers access via the Blossom Fund to a professionally managed portfolio of investment grade fixed income products aiming to earn higher returns.
The Blossom Fund prioritises ethical investments and excludes investments in coal, oil, gas and more, to service 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 boasts well-known Australian brands as clients including Hungry Jack’s, Accor, JD Sports, BPay, Freedom, and Pizza Hut.
Research conducted by Wagestream globally found employers who offer Wagestream’s financial wellbeing program were able to fill job vacancies 27 percent faster and reduce attrition by 16 percent, further validating the attraction of financial wellbeing programs to employees.
Wagestream Australia CEO Josh Vernon said: "Wagestream is an important enabler of financial wellbeing, and saving is a critical step towards being more financially secure. Many young wage earners face creeping inflation and rising costs of basic living expenses. With interest rates still at historic lows, and banks not efficiently passing on interest rate rises to savers, achieving lower-risk returns has never been harder.
"Young people are also now bombarded with buy now, pay later offers which create additional behaviour barriers to saving. The ability to grow savings faster through a Blossom account that targets a 3 percent per annum return is exciting in this environment."
Blossom co-founder Gaby Rosenberg said: "We share similar values as Wagestream, as well as a common goal of helping to improve our customers’ financial wellbeing. The core to financial wellbeing is the ability to cover an unexpected financial shock through your savings.
"We believe financial wellbeing is one of the biggest stress points for many young employees. Giving these employees access to a solution where they can create a savings goal – and earn a return on their savings – will help to tackle this problem among young workers."
Hungry Jack’s Chief People Officer Jenny McKie said: "These days, employees are looking for more than just a pay cheque. They want benefits that make a real difference to their daily lives and make their lives easier in general. That’s why we work with Wagestream and are excited about the partnership with Blossom."
Wagestream recently closed a AU$236 million Series C funding round, which is believed to be the largest ever raised for a social impact fintech company.
Wagestream Australia and Blossom describe themselves as mission-led fintechs determined to improve financial wellbeing by giving young people access to fair financial services.
In line with the expectations of millennials and gen z, 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 more than 1,800 trees have been planted.
Wagestream (www.wagestream.com/au/) is the financial wellbeing app founded by charities, designed for employees and built around pay and makes work more inclusive, fair and rewarding for one million people – by giving them access to fair financial services built around their pay. Workers use Wagestream to choose their own pay cycle, manage their budgeting, save for a rainy day, chat to a personal money coach, and get fairer deals on financial products – all in one app, with no change to payroll.
Wagestream Australia is driven by a social charter: every service it provides must measurably improve financial wellbeing. Over 70% of people using Wagestream feel more in control of their money, leading to a happier, healthier, more productive workforce.
Blossom helps Aussies 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 sign up or transfer fees. Blossom provides access to fixed income investments through the Blossom Fund, helping everyday Aussies target higher returns. The Blossom Fund benefits from the services of Fortlake Asset Management Pty Limited, E.Y. and J.P. 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 of the Blossom Fund (ARSN 645 889 998). You should consider the relevant Product Disclosure Statement, along with the Target Market Determination, available on (www.blossomapp.com). Your savings are not held in a bank account deposit and are subject to investment risk. BlossomApp Pty Ltd (ABN 29 103 162 278) is Corporate authorised Representative No. 001284228 of Gleneagle Asset Management Limited.