Australian fixed income app, Blossom, has announced it has expanded its offering on the app, with ‘Blossom for Business’ and ‘Blossom for SMSF’, which provide small and medium enterprises and self-managed super funds access to fixed income investments.
The investment solutions provide SMEs and SMSFs access to the Blossom Fund, offering exposure to a diversified portfolio targeting stable returns at 5.95% p.a.
Recognising the challenges faced by SMEs and SMSFs, who often lack the time and appetite for high-risk investments, Blossom offers a stable return and an accessible investment solution for SME and SMSF investors to park their capital, the company said.
Blossom’s offering enables businesses and SMSF/Trust investors to have more flexibility as the Fund offers daily earnings and no sign up, transfer or withdrawal fees.
With positive take-up by individual investors already, Blossom for Business has seven businesses signed up to date with $2.7 million in funds under management (FUM) and Blossom for SMSF has 10 SMSF/Trust investors so far with $844,000 in FUM.
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The new expanded offering coincides with Blossom reaching the key business growth milestones of $40 million in FUM, 13,000 sign-ups on the platform and a recent targeted return increase to 5.95% p.a. – its ninth since inception.
Blossom said it attributes its rapid growth to increasing knowledge and understanding of bonds within the ranks of the Australian public, coinciding with several interest rate hikes over the last 12 months.
Gaby Rosenberg, Co-Founder and CEO of Blossom said: “We set out with the intention to provide access to fixed income for businesses and SMSFs and are pleased to have achieved that. The expanded offering of Blossom for Business and SMSF reaffirms our commitment to democratising access to bonds.
“Fixed income has offered a ballast of stability amidst high market volatility this year and we have seen increased demand for stable returns.
“This expanded offering has experienced pleasing uptake so far and we look forward to this trend continuing into 2024.”
Australian SMEs and SMSFs can invest in the Blossom Fund on the Blossom app.
