Digital wealth management platform StashAway has said that it is increasing the projected rate of return for its cash management portfolio, StashAway Simple, from the existing 3.3% p.a. to 4.1% p.a..

“We are committed to helping our customers get more for their cash, and this rate increase is one way that can empower them to get closer to their financial goals. Whether you’re saving for a big purchase, building an emergency fund, or simply looking for a better way to grow your money, StashAway Simple offers a convenient and effective solution,” said the country manager of StashAway Malaysia, Wong Wai Ken.

StashAway also noted that cash management solutions such as StashAway Simple can be an attractive option for customers moving forward, especially since inflation is projected to remain elevated in 2023. Specifically, inflation will only cause the value of your bank savings to depreciate, since regular bank savings accounts can’t generate a high enough interest to beat the increasing inflation rate. StashAway Simple, on the other hand, takes advantage of the rising interest rates and increasing yields to offer higher projected returns.

In addition to this, StashAway Simple is also switching its underlying fund from AmIncome Fund (a low-risk bond fund with 66% bonds and 34% fixed deposit) to Eastspring Islamic Income Fund (money market fund). To note, StashAway Simple has changed its underlying fund once before, from Eastspring Investments Islamic Fund to AmIncome Fund.

StashAway Simple was first launched in mid-2020 with a projected rate of 2.4% p.a.. This rate was then gradually increased over the following years – up to 2.5% p.a. in June 2022, 3.0% p.a. in October 2022, and subsequently 3.3% p.a. in late January 2023.

StashAway also shared on its website that the annualised returns for its cash management portfolio are as follows, with returns reinvested:

Quarters	Annualised returns (with returns reinvested)
First quarter of 2022 (1Q22)	2.4%
Second quarter of 2022 (2Q22)	2.6%
Third quarter of 2022 (3Q22)	2.89%
Fourth quarter of 2022 (4Q22)	3.03%

Finally, StashAway reiterated that customers who save with StashAway Simple will be able to enjoy various conveniences, such as not being limited by lock-in periods (such as in the case of fixed deposits), as well as minimum or maximum deposit requirements. There are also no withdrawal and management fees (although there is a 0.075% net fee charged by the underlying fund manager).

• TAGS:
• AmIncome Fund
• Cash Management
• Cash Management App
• Cash Management Portfolio
• Cash Management Solutions
• StashAway
• StashAway Simple
• Wong Wai Ken