WeDO members AirFunders, founded by Chris Turnbull, has opened for business with a new approach to building long term savings. The current COVID-19 crisis and likely recession highlights problems ahead for many. Recent data suggests that 1 in 5 UK adults have less than £100 in savings and AirFunders want to do something about it.
In financial services different products come into fashion at different times. Innovation is there to match the changing attitudes of society, to provide products that people want to invest in where they can secure the best return for their money. Sometimes the return is less important than the social impact. The growth in ESG investing shows that attitudes towards profits are changing and profit with purpose is becoming more important to investors with a social conscience.
To find a niche that delivers a differentiated return is what fund management companies do. Then it is about economies of scale, operational efficiency and of course performance.
Sales, advertising, impressive offices all go into the mix to present the customer facing presence to build respectability and credibility.
All this costs money and must be paid for.
So, products require minimum investments to make them viable to cover the overheads.
What does someone do to get a foothold in the investment world from a zero base? Building pension wealth comes about from working in a way that allows funds to be set aside for the future. For many this is not an option, however.
When formulating the plan for AirFunders they wanted to give their members the opportunity to ‘build a fund out of fresh air’. For those underserved how could they achieve that?
The one thing that everyone must do, be they wealthy or financially challenged is spend money, on daily essentials or luxuries.
They came up with a plan to link people’s expenditure with long term savings for those individuals, but there had to be differences.
Firstly, they wanted to make sure the savings that they would generate for their members would be held for the long term, to help individuals in later life. Access to those savings should be restricted and the funds should not impact an individual’s personal tax situation.
If they were to generate savings from people’s expenditure then they would not want to favour those people with higher disposable incomes as they are already well served by the financial system.
Those with lower disposable income spend less and on less luxury items. They wanted to devise a way that they could level the playing field and give those underserved by the financial system a better chance to build capital and pension wealth.
At AirFunders everybody has the chance to build wealth with an approach that sees incremental cashback gathered on expenditure when members spend wisely. Flexibility abounds to suit all members individual situations.
Whether a member be a student making their first steps towards long term savings or a well-established adult on the way to retirement. Whether a low paid contractor or a pensioner, there is a way to benefit by becoming an AirFunder.
Airfunders built out the technology offering to deliver the solution to their members and now have the ability to offer a new, unique and beneficial, cost free solution to those who join them on the AirFunders journey.
Click on the logo to visit the AirFunders website and find out more.