iTrust was born out of the frustration of baby & child gifting, and the realisation that investing is designed for the wealthy. From this problem we designed and developed Australia’s first and only investment gifting platform.
The goal of iTrust is to make high quality investments easily accessible at a low cost to build the financial future for children. We understand that parents with young children do not have a lot of money laying around to invest, so we developed the gift card function that allows anyone to send a gift card to a parent for their child without the parent needing an account, and the gift page which makes it easy for parents to share the account with close family and friends to make contributions at birthdays and festive holidays.
Security is our primary concern and we have developed a fully encrypted system with bank grade protection. Additionally to this, in conjunction with Westpac we have our own BSB number and issue every account with their own bank account to make it safer. To prevent any internal issues, we have become the first ASIC registered fund with gift card functionality. This ensures we are audited on a regular basis, and maintain the highest levels of best practice.
To some giving money may be perceived as a crude gift, but as well as providing a financial springboard for life when the child really needs it, it is a life lesson on savings and investments for the children, with educational modules on the way. In comparison to other gifts such as plastic toys, it is a much environmentally friendlier gift to give, as it has longevity, and won’t become landfill in a few months. According to Glenn Stevens, the former Chairman of the Reserve Bank, a child born today will not be able to afford a house without family assistance, iTrust fulfils this function!
Following up on the point of making high quality investments accessible to all; basically the investment market was set up for the wealthy who have large amounts to invest, with little regard for the rest of us. As outlined by the chart below, if you only have a few hundred to invest you are stuck in a bank account delivering only slightly better than inflation returns. If you have a few thousand you can access index based ETF’s which companies like Acorns/Raiz use, but these by their inherent structure will never outperform the index, and in a down market will plummet without a parachute. Then we come to high quality managed investments, which have very high minimum investment levels, eg.$20,000-$500,0000, but utilise the best research available to deliver outstanding returns in good markets, and protect your investments in falling markets. Through our platform we make this type of investment, in the form of the Magellan Global Fund accessible to all for a $10 minimum investment.