Wealthfront clients have reportedly earned over half a billion dollars in interest year to date from our high-yield Cash Account offering 4.80% APY.
According to a note from Wealthfront, high-yield accounts have “surged in popularity this year, but not all of these accounts provide the same value for consumers.”
Wealthfront’s client-centric business model “means we design our products so they deliver more value to our clients, not just to our bottom line.”
The way Wealthfront created the Cash Account is considered to be “a great example of this – half a billion dollars in interest earned amounts to $1,014 on average per client year to date.”
That’s real money that can “be invested for the long term.”
This latest announcement builds “on an exciting year of product and business growth for Wealthfront.”
They increased the FDIC insurance on their Cash Account “to $5 M (and $10 M for joint accounts) through our network of FDIC insured partner banks.” They also brought much-needed innovation “to the fixed income space with the launch of our Automated Bond Portfolio, which offers a higher yield than I bonds, CDs, and Treasury bills with lower risk than investing in equities or corporate bonds.”
Wealthfront now offer individual stocks and fractional shares “with zero commissions in our Stock Investing Account.”
They have reportedly “surpassed $45B in total assets for more than 650,000 clients.”
Last month, Wealthfront, a consumer fintech and pioneer of the robo-advisor industry, announced new stock collections created “by the company’s Investment Team to navigate investment themes including artificial intelligence (AI) and inflation.”
Designed to help clients discover new investment opportunities, Wealthfront’s Stock Investing Account “offers zero commissions, fractional shares, curated stock collections, and requires just $1 to get started.”
Wealthfront’s Investment Team constantly “monitors the changing investment landscape and evaluates opportunities to help clients invest in the latest industries and trends.”
Each stock collection is “developed through a review of industry data in combination with internal analysis.”
Clients particularly love that “all stock collections include pros and cons of each strategy that are rooted in data and research.”
Investors can now access the following stock collections:
- AI Adopters: Businesses that effectively adopt AI could reduce costs and increase profits. Investors can use this collection to explore and invest in key companies that are already leading the way in AI adoption, including Broadcom (AVGO), CostCo (COST), Nvidia (NVDA), and more.
- Generative AI: Investors can use this collection to explore and invest in companies developing the technology that makes generative AI applications possible, including Alphabet (GOOGL), IBM (IBM), Microsoft (MSFT), and more.
- Large-Cap, High Dividend Payers: Dividend stocks are often correlated with inflation protection, diversification strategies, stability, and cash flow. Investors can use this collection to explore and invest in large-cap companies paying dividends that yield more than the 10-year Treasury yield, including Chevron (CVX), Pfizer (PFE), Verizon (VZ), and more.
Dave Myszewski, Vice President of Product at Wealthfront, said:
“The recent market momentum and advancements in artificial intelligence have created a renewed interest in stocks, but investors are having a hard time navigating persistent inflation and recession predictions. They want to make smart, long-term investments and are hungry for research-driven guidance. This is the gap our stock collections fill and we’re excited to expand these insights to additional categories.”
Wealthfront’s stock collections are designed “to help investors think beyond individual companies to create a portfolio of stocks according to a broader investment theme.”
Clients can also start by “searching for a particular stock and find related investment opportunities.” Other stock collections recently added “to the platform include: Internet of Things, Quantum Computing, and Virtual and Augmented Reality.”