Berlin-based savings startup Raisin is entering the retail investment market through a tie-up with asset manager Vanguard to add ETF portfolios to its German product offering.
Investors can choose between four portfolios made up of ETFs and index funds with an equity share of 30, 50, 70 and 100 per cent respectively and invest in up to 16,000 individual securities globally.
Managed by Vanguard, the portfolios have a minimum investment amount of EUR2000 with periodic rebalancing and automated reinvestment of distributions and an average annual costs of under 0.5%.
"Our Raisin portfolios are the perfect alternative to costly multi-asset funds and cumbersome direct ETF investing," says Til Rochow, head, investment products, Raisin. "We make the best investment solutions accessible to everyone."
For Vanguard, the partnership offers a chance to grow its presence in Germany, a market it is new to but plans to soon open an office in.
Raisin launched its first marketplace for savings products in 2013 in Germany. Since then, more than 100,000 customers have invested over EUR5 billion with 45 partner banks.