Revolut, the global fintech with over 45 million retail customers and hundreds of thousands of business customers globally, is today launching in Romania its brand new Flexible Cash Funds offering for paid plans business customers. Through Flexible Cash Funds, Revolut Business customers can invest in low-risk money market funds – traditionally only available to large enterprises with the highest amounts of capital to spare.
By democratising access to money market funds through its Flexible Cash Funds offering for paid plan customers, Revolut is helping Romanian businesses fuel their future growth. With more than 5% APY (variable) on USD1, Flexible Cash Funds can help businesses build up cash reserves with low risk whatever their stage of growth and for any scenario – from acquisitions and reinvesting to tax payments and cushioning the blow of expenses. In the last six years, volumes in money market funds have roughly doubled in the United States. EU money market funds held more than 1.4 trillion euros in assets at the end of 2021.
The announcement comes at a time when interest rates and inflation across Europe remain high. In other words, businesses that aren’t making their cash balances work hard to earn returns risk losing out in real terms. Across the EEA, Revolut Business clients already deposit more than 5 billion euros to their current accounts per month.
With Flexible Cash Funds, Revolut Business customers can earn and receive returns every day (subject to the fund’s performance), add and withdraw money within two business days without fees or restrictions under normal market conditions, set access controls for everyone in the business and open up to 100 Flexible Cash Funds in available currencies (GBP, EUR and USD) with no minimum or maximum investment amounts.
James Gibson, Head of Revolut Business said: “At Revolut, we’re relentless in our goal to simplify all things money and for Revolut Business that means making it easy for companies to scale and invest. Flexible Cash Funds do exactly that – enabling our business customers to build up their capital and plan for their future growth. We’re really excited to be making money market funds accessible to businesses of all sizes, not only those with huge cash reserves and asset managers.”
Flexible Cash Funds are just one of the ways customers can use Revolut Business to build up capital, manage currency risk and plan for the future. Customers can also exchange money at the interbank rate (based on plan allowances, during market hours) and protect their business against currency volatility via Forwards – locking in future exchange rates to get a fixed exchange rate for the future, today.
Revolut Business was designed to help businesses scale – and save – with multi-currency accounts, global payments and smarter spending, available via web, mobile and APIs.
Revolut’s Flexible Cash Funds invest in Constant Net Asset Value (CNAV) or Low Volatility Net Asset Value (LVNAV) money market funds managed by FIL Investment Management (Luxembourg) S.A. a subsidiary of Fidelity International. These money market funds are classified as 1 out of 7 in terms of risk – the lowest possible risk indicator. Investments and cash are insured up to €22,000 by the Lithuanian Liabilities to Investors Insurance Scheme
