I’ve heard it joked that every tech company wants to be a bank but *truly* every brokerage wants to have a bank attached.
-
-
Show this thread
-
“Why?” Greater share of wallet, greater share of habit than investing services (and therefore keeps your AUM sticky), and great monetization options on both stocks and flows of cash*. * Not physical cash; distinguishing it from value in investments, some of which are cashlike.
Show this thread -
“Can you explain that?” So one investment option is called a “money market fund” and it is functionally not an investment, because they are (de facto) backed up by issuer and government guarantees which make them approximately as solid as insured bank deposits.
Show this thread
End of conversation
New conversation -
-
-
https://www.wealthfront.com/portfolio-line-of-credit … How did I not know about this.
-
It's unfortunately much pricier than InteractiveBrokers.
- 5 more replies
New conversation -
-
-
Interesting that they phrased it as a "Cash" account as well. Seems like the lines between money market accounts and savings/current/deposit accounts are becoming increasingly blurred. Didn't Robinhood get into trouble for their phrasing in this way?
-
Robinhood and Wealthfront have different backends for the offering, though. Wealthfront does effectively a nightly cash sweep to bank accounts; Robinhood had a SIPC-covered brokerage account. SIPC said not coverable b/c account not ~solely intended to purchase securities.
- 1 more reply
New conversation -
-
-
Personal Capital just introduced a savings account too. Their pitch is pretty killer too. They know your bank, so they show a graph of your APY vs theirs.

-
This Tweet is unavailable.
New conversation -
-
-
Did they add a survey question about holding your 401k too? Not sure if they do that yet but seems plausible and likely as there is way more sitting in retirement accounts than savings and checking.
-
Balance is way more stable too
End of conversation
New conversation -
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.