OUTsurance Holdings Limited on 2 October 2017, launched an innovative retail investment service to complement its suite of direct to consumer short-term and life insurance products.
“In a country with a low savings rate, a large advice gap and expensive investment products, we want to help consumers easily and cheaply save and invest,” explains Willem Roos, OUTsurance Group Chief Executive Officer.
The new service, OUTvest, offers goal based advice and passive investment solutions via a website and an app combining sophisticated technology and financial advisors based in a call centre.
The service’s key points of difference include its intuitive do-it-yourself digital front end, low fees and intelligent goal-based calculators – which will help investors understand how much to save to achieve their goals. Clients benefit from both algorithmic passive investment strategies and professional human advice.
“Just like OUTsurance turned insurance on its head, we’re aiming to do the same with investing. We’re living in a digital age where people are more comfortable using smart websites and apps to make decisions previously only entrusted to a face-to-face advisor. OUTvest makes investing simpler, smarter and more affordable with the consumer at the centre,” comments Roos.
“We are first to offer Crowdvest, a social version of investing. We’ve made it easy to invite friends and family to collectively invest towards making a meaningful financial goal become reality. For instance, grandparents will easily be able to contribute towards a tertiary education savings goal for grandchildren or friends will be able to collectively save towards a trip or sports tour, and invite others to support them,” says Grant Locke, OUTvest Head.
The OUTvest user interface has been developed to be as intuitive and easy-to-use as possible. Whether through the app or website, clients can add or withdraw funds, stop, start or change contributions at any time at no cost and with no penalties. Clients will also be able to completely comply with usually frustrating FICA requirements speedily via the app or website. The client dashboard will offer a summary of a client’s complete OUTvest landscape and how well they are tracking against their individual goals. Fees are competitive and extremely transparent and investments start from ZAR100 per month.
OUTvest has partnered with CoreShares, an index tracking passive fund manager, which has registered four advanced and cost effective unit trusts to cater for the different levels of risk and investment horizons of OUTvest clients.
“South Africans need to save a lot more but they just don’t know where to start, how much to start with, who to choose, or what fees they will end up paying to the asset manager and advisor. OUTvest bridges these gaps by creating access to high quality and excellent value for money investment solutions. Everyone who has a goal worth saving for, no matter how big or small, could be an OUTvestor,” concluded Locke.