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New True Potential service offers clients fund top-ups from £1

True Potential has launched a service which allows advised clients to top up fund holdings through its platform on a self-serve basis from as little as £1.

The company says the ImpulseSave service is designed to encourage clients to invest cash which would otherwise be spent as disposable income.

To overcome minimum top-up amounts, which can run to hundreds of pounds on some funds, True Potential says it will group transactions across the platform to meet minimum transaction amounts.  

If investments across the platform do not meet the minimum investment amount for a fund on a given day, True Potential will pay the difference. 

True Potential senior partner Daniel Harrison says: “Advisers may have had to turn clients away where they cannot profitably deal with a £50 top-up because it is a piece of advice each time. This mechanism allows people to top-up as and when if they want to do it themselves.

“If you look at online banking, it is simple to switch money left over at the end of the month into a savings account. Introducing the same principle for Isa and general investment accounts established with an adviser helps set that habit without having to work through the intermediary every time.”

Finance and Technology Research Centre director Ian McKenna says: “Many advisers may see micro-payments as insignificant. But it has been demonstrated that substantial amounts can be saved this way. It makes it easy for people to save quickly and easily.”

Loch Fyne Financial director Douglas McIntyre says: “This is similar to some of the things banks have done where change on card purchases is automatically put into a savings accounts. £5 or £10 will not make a dent on its own but it adds up.”

Ian McKenna: Has True Potential cracked investment micro payments

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