Blossom App Interview

Blossom APP

Words Gaby Roseberg

What is Blossom App and how is it difference from other investment apps? Blossom is a new savings app targeting a 3% p.a. return to help you reach your savings goals faster. We don’t think you should have to choose between targeting higher returns, and quick and easy access to your savings, so we’re bringing it all to you in an easy-to-use app!

Blossom launched in June 2021 and has thousands of Aussies already saving through the app. Blossom customers are mostly saving for their first home followed by building up their emergency funds. Blossom currently has $13M of funds under management from a predominantly female cohort - 65% of Blossom customers are women.

Blossom is free to get started and we do not charge transfer or withdrawal fees. We have removed minimums, meaning you can start by funding your account with as little as $1.

Accessibility Blossom seeks to level the playing field by giving Australians access to a high quality savings opportunity that was typically reserved for institutions and high net worth individuals only.

Expert Managers The Blossom Fund’s investment assets are actively managed by Fortlake Asset Management. The Founder and CIO of Fortlake is Christian Baylis, who has over 18 years of experience across global fixed income and derivative strategies. He has a PhD in Econometrics and previously worked at UBS Asset Management and the Reserve Bank of Australia (RBA). Our ESG expert, Dr Kylie-Anne Richards, the Chairwoman of Fortlake helps to ensure Blossom makes ethical and purposeful investment decisions. Together, Christian and Dr-Kylie work with a world-class team and we’re thrilled to benefit from their expertise.

ESG Focus We have an environment and horticultural focus, where we plant trees in Australian bushfire affected regions when customers fund their accounts for the first time. We prioritise ESG in investment decision-making and have integrated savings goal functionality to help customers visualise a savings goal and watch it grow while their funds blossom. We are here to help Australians reach their financial goals.

Risk Profile Many of the other micro investing apps focus on investments into stock market and/or ETFs, generally seen as higher risk investments. The Blossom Fund underlying investments will be selected for being investment grade fixed income products.The risk profile is different because fixed income investing is exactly what it sounds like, investments that pay a 'fixed rate': corporate bonds, government bonds, cash, mortgage backed securities & more. Blossom is an amazing achievement. As CoFounder of Blossom, how did you transform this investment app idea into a reality?

Why should our subscribers choose Blossom App for their investments?

I studied commerce but chose a career in tech over finance. I’ve worked in tech start-ups for my whole career. When COVID hit I found myself with some time on my hands and I used the time to get on top of my personal finances. I come from a long lineage of finance professionals who always bring the most innovative ideas & opportunities to the dinner table. One week it was fixed income. I am inherently risk averse so it was a very attractive opportunity to me. My research found I was immediately priced out of the market: long lock ups - I needed quicker access to my cash, and high minimums - between 20-200k, and high fees.

I knew that this was something that was not only attractive to me but would be for my friends and colleagues as well. So I wanted to figure out a way to open up access, and 1 year down the track here we are.

Blossom is the smarter way to save. Subscribers would be joining thousands of Australians who are already enjoying 3% p.a. targeted returns with Blossom. Through an easy-to-use app, with savings goals functionality and automatic transfers, Blossom makes the “task” of saving much more convenient and rewarding.

Revolutionary Ideas This app is special. It’s not like any other savings app because it’s focused on increasing your wealth through sophisticated, yet simple, investments, whilst providing you with the tools to maximise your savings in the process. If you are stuck trying to find the most optimal app to grow your savings in a safe and secure way, then look no further than the Blossom app - I HIGHLY recommend it!!!

Blossom is female-founded and majority female run. Not only are we looking to support women with making better savings decisions and reach their goals faster, but we’re on a journey to build an educated and empowered community. We also have a major environmental, social and governance focus.

We make ethical investments only; we plant trees for every new funded account as well as allow customers to use their referral incentives to plant more trees or donate to pancreatic cancer research (a cause very close to our hearts).

The Blossom App provides access to the Blossom Fund. The Blossom Fund is managed by an expert team with more than 18 years of Fixed income experience. The underlying investments of the Fund have and will be selected for being investment grade.

Earnings generated from Blossom accrue daily, meaning you can see your earnings blossom each day within the app. We have also removed minimum investment amounts to fully democratise this market. How do our subscribers get started navigating the Blossom App?

How does the app work? How long has the App been live?

Getting started with the Blossom app is a quick and easy process. The app has been designed to ensure customers can onboard in under 2 mins. Customers will just need to provide us with some basic personal information and proof of identification. Blossom accounts can be funded using BPAY or direct debit and as soon as the funds land, we will plant a tree. Blossom launched on 07 June 2021.

The Blossom app has savings goals functionality where you can set a savings goal and watch it grow through the app as your savings Blossom. When you set your savings goal, you’ll receive a personalised flower that will grow as you reach different stages of your goal.

Why would our subscribers enjoy using the Blossom App?

We’ve created an app by women, mostly for women (but we won’t exclude anyone!). It’s not like other fintech apps, it’s easy on the eye, extremely simple and incredibly user-friendly. Beyond the look and feel and ease of using our app, we provide the flexibility our customers are used to. You’ll see your earnings posted daily, you can set your savings goals, and track your progress through the app.

Will the app be secure for our subscribers' savings? Blossom takes safety seriously and, as AFSL (Australian Financial Services Licence) holders, we are required to adhere to the NIST cyber security framework. This is the global standard in cyber security to protect you from criminal activity.

We have strict account protection policies, for example, ID verification, forced log-outs and multi-factor authentication to help ensure only you can access your account.

Your data is encrypted and stored offsite to protect you from criminal activity. We will never share, sell or rent your personal information. As for the investments themselves, these are held by the Fund’s licensed Custodian, JP Morgan Securities LLC. JP Morgan is a multinational investment bank, financial services holding company. JP Morgan is a global leading custodian, who holds Blossom’s bond portfolio. I see you are a co-founder. Who else is involved in the Blossom App project? Our expert Fund manager is Dr Christian Baylis, our not-so secret weapon. As the Chief Investment Officer of Blossom’s appointed investment manager, his mission is to help ensure Aussie’s savings grow with Blossom.

Dr Kylie-Anne Richards is our Environmental, Social & Governance (ESG) powerhouse. Dr. Kylie advises Blossom in making ethical and purposeful investments. Her job helps ensure that we leave your savings and the environment better than we found them.

What fees will our subscribers pay when investing with Blossom? Blossom is free to join and we don't charge transfer or withdrawal fees. We strive to put our customers first, so how it works is our fees are paid out in a waterfall-like structure. The first 3% p.a. available is always paid to the Blossom customer, and anything above this is used to pay our fees so: the next 0.5% is paid to the liquidity manager (Fortlake Asset Management), the next 0.5% is paid to the Responsible Entity (Gleneagle Securities) and the rest goes to Blossom. For more info on our fees, check out our PDS and FAQs for more info here: www.blossomapp.com.

How does Blossom mitigate risk for the users? The Blossom Fund, like any fixed income fund, carries risk. We mitigate the level of risk to target our 3% p.a. returns through four key strategies:

1. Experienced team Blossom has partnered with an expert team, Fortlake Asset Management, with 18 years past experience in fixed income at UBS and Reserve Bank of Australia.

2. Fixed income investing The underlying investments of the Fund are fixed income investments. This allows for a more predictable and reliable return than many other asset classes.

3. We’re building a buffer When the Fund makes interim excess returns above 3% p.a., the excess will be reserved by Blossom to help us pay external fees and to fund potential interim returns less than 3% p.a.

4. Diversified strategy The underlying investments of the Fund will be selected for being investment grade, to maintain over time, an average portfolio rating of A. How does the App compare to cryptocurrency or the share market? Is Blossom safer?

Blossom removes as many barriers as possible. You can get started with less than $1, there are no sign up, transfer or withdrawal fees and we post earnings daily through the app.

The risk profile is different because fixed income investing is exactly what it sounds like, investments that pay a 'fixed rate': corporate bonds, government bonds, cash, mortgagebacked securities & more.

You can download the app through the App or Play Store or you can get started on the web. App Store: https://apps.apple.com/au/ app/blossomapp/id1546446105 Play Store: https://play.google.com/store/ apps/details?id=com.blossomapp.app.android Web: blossomapp.com

Gaby

ROSENBERG

Gaby Rosenberg is a co-founder of Blossom App. She holds a Bachelor of Commerce majoring in International Business from the University of New South Wales and completed an Erasmus Exchange in Economics at the Utrecht University in the Netherlands. Prior to Blossom App, Gaby worked in tech start-ups including Let's Do This - a global marketplace for endurance athletes and endurance events, and DingGo an automotive industry car repairs solution.

Gaby Roseberg Co Founder Blossom App www.blossomapp.com LinkedIn