1 year ago
102 Wombat has launched a low cost Junior ISA (JISA) product in the United Kingdom to address surging demand for the tax-free wrapper from its fast-growing base of investors.
Available from 1 May, investors can access Wombat’s curated range of funds and stocks through a JISA for an annual charge of just 0.10% per year, with a subscription fee of £1 a month. Savers can invest as little as £10.
The addition of a JISA offering is intended to give savers low-cost access to the micro-investing platform’s range of features and investments, including theme-based funds, fractional trading in big brand shares, spare change round-ups, and unlimited commission-free investing.
Founded in 2019, Wombat has recently surpassed the 300,000-user mark in the UK, with double-digit monthly growth in new sign-ups for the tax-free wrapper as investor demand for its existing Stocks & Shares ISA skyrocketed.
Kane Harrison, CEO and co-founder of Wombat, said: “We spend a lot of time asking our customers what they want to see from us next and the clear consensus has been a Junior ISA. Increasingly, our users are starting families and want to set their children on an investing journey like their own, using the best savings vehicle possible.
“While the tax-free advantages of JISAs are key, we think it’s vital that parents and other investors are not baffled by thousands of funds and stocks when it comes to making investment decisions. That is why we carefully narrow down their options so they can choose from our best of breed funds and stocks, taking the hard work out of the process while ensuring they maintain total control over how their contributions are invested.”
Wombat estimates total addressable market of 100 million users in Europe
In August 2022, Wombat closed a Series A funding round led by Fuel Ventures, raising more than £4m to support its growth plans, forthcoming product launches and international expansion.
Wombat estimates it has a total addressable market of 100 million users in Europe, where it anticipates strong demand among novice investors for its range of theme-based exchange-traded funds (ETFs) and curated UK, US and EU fractional shares.
With Wombat, users can select from a range of themed funds and individual shares to create a personalised portfolio that reflects their interests, lifestyle, and beliefs.
Wombat Invest Limited is acting as an agent of TrueLayer, who is providing the regulated Account Information Service, and is Authorised and Regulated by the Financial Conduct Authority under the Payment Services Regulations 2017 and the Electronic Money Regulations 2011 (FRN: 901096).
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