Moneyfarm launches money markets portfolio Liquidity +
“With Liquidity+, we are offering a low-risk investment option with attractive yields, managed by top global institutional asset managers. We understand that not everyone has the time to navigate market volatility, and that’s why we have carefully designed Liquidity+ to cater to investors with short term investing time horizons.”
In a financial landscape characterized by soaring inflation rates and volatile markets, the hunt for a secure yet profitable investment avenue for short-term savings has been nothing short of a challenge.
Moneyfarm, a leading player in the investment management sector, has now stepped up to meet this challenge with the launch of Liquidity+, a portfolio of money market funds managed by top global asset managers.
Gross annualized return of over 5% on short-term savings
One of the most compelling features of Liquidity+ is its ability to offer investors a gross annualized return of over 5% on their short-term savings. This return is both impressive and timely, given the current economic environment. However, it’s important to note that the return on investment will fluctuate in response to interest rate movements.
What sets Liquidity+ apart from other investment solutions designed for the short term is its remarkable flexibility. Investors can enter or exit the fund at their discretion without encountering the typical withdrawal or deposit restrictions that often plague high-interest savings accounts. This flexibility allows individuals to keep their short-term savings agile and accessible, a crucial advantage in uncertain times.
Money market funds are known for their capacity to provide short-term gains with relatively low risk. With Liquidity+, investors can put their short-term savings to work in an environment where risk exposure is actively managed. The portfolio primarily focuses on bonds, deposit certificates, and commercial paper, and risk exposure is vigilantly overseen not only by the institutional managers of the funds but also by Moneyfarm’s expert Asset Allocation team, led by Chief Investment Officer Richard Flax.
Diversification is a key principle of investment. By investing in various money market funds, the platform spreads risk and provides a level of stability that individual investments may lack. This diversification minimizes the chances of a substantial loss, making Liquidity+ a safer choice for short-term savers.
One of the standout features of Liquidity+ is its rapid settlement process. Investors can buy or sell their positions with the assurance of having their trades settled within a single working day. This feature is particularly valuable for those with short-term financial goals or those who need immediate access to their funds in case of unforeseen circumstances.
0.3% per year management fee + 0.1% cost with underlying funds
Moneyfarm believes in transparent pricing. Liquidity+ is priced at a 0.3% per year management fee, with an additional 0.1% cost associated with the underlying funds. This fee structure ensures that investors can enjoy the benefits of a money market strategy without being burdened by excessive fees, aligning with Moneyfarm’s commitment to making smart investing accessible to all.
In today’s digital age, convenience is key. Whether through their online platform or mobile app, Moneyfarm offers a user-friendly interface, ensuring that anyone can take advantage of this exciting investment opportunity with ease.
“We are offering a low-risk investment option with attractive yields”
Giovanni Daprà, the CEO of Moneyfarm, said: “At Moneyfarm, our mission is to empower investors and provide them with smart investment solutions. With Liquidity+, we are offering a low-risk investment option with attractive yields, managed by top global institutional asset managers. We understand that not everyone has the time to navigate market volatility, and that’s why we have carefully designed Liquidity+ to cater to investors with short term investing time horizons. This product is the latest offering from Moneyfarm, following our sustainable investment and thematic portfolio launches, and demonstrates Moneyfarm’s commitment to helping clients achieve their financial ambitions.”
Richard Flax, CIO at Moneyfarm, commented: “For those unfamiliar with money market funds, they are a type of mutual fund that invests in short-term, low-risk debt securities, such as government bonds, commercial paper, and certificates of deposit. These money market funds allow investors to park their liquidity in easily accessible instruments invested in short dated, highly rated paper.”
