Magazine

How We’re Using That Money We Raised

By Sallie Krawcheck

Lots of news out of Ellevest over the past week.

We announced that we raised an additional round of venture capital funding last week, led by Allianz Life Ventures.

Cue confetti. Cue balloons. Cue big smiles all around.

Even more so, because this raise comes on the heels of a TechCrunch article that noted that only 1% of venture capital dollars raised by “fintech” companies went to women founders in the last 10 years.

Ouch.

It’s hard not to think back to Ellevest’s early days, when we first tried to raise money. And we were told no. Repeatedly.

And given “helpful” insights like:

  • “Women don’t need their own thing. The reason they don’t invest is because they’re too risk-averse to do so. It just is what it is.”

  • “There’s not much of an opportunity in providing financial solutions for women because their husbands take care of the money.” (Hand to heart, I was told this. Many times.)

  • “This isn’t a problem that needs a solution.” (Even though money is women’s #1 source of stress, and taking action around it is the #1 driver of our confidence in achieving our future financial goals ...)

  • “Women miiiiiiiggggggghhhhhhttttt invest in a good market, but will panic during tough markets.” (You didn’t.)

Today, you’re one of 476,117 financial feminists in the Ellevest community taking charge of our financial futures. And counting.

How are we using the money we’ve raised?

It’s all about our mission: to get more money in the hands of women.

For the Ellevest membership, we’ll continue to build out rich ways to enable you to personalize it for what you need. What you need right now may be different from what someone else needs right now, and it also may be different from what you’ll need next year or in five years. So the ability to personalize your membership really matters.

The unifying, underlying driver is that we want your Ellevest membership to pay for itself. Not just figuratively. We don’t just want you to feel like it’s a valuable use of your money (though that’s great, too). But literally — we want your $1, $5, or $9 a month to literally pay for itself.

We want it to pay for itself in this-could-change-your-life ways, like getting you to invest — if you’re ready to do so — and thus giving you the opportunity to earn the returns that investing historically has driven, and which too many women have missed out on. And in getting you the insights and coaching you need on your money or your career to take some big steps forward. (Even the highest level of membership, Ellevest Executive, pays for itself in discounts on just two coaching sessions.)

We want the Ellevest membership to pay for itself in day-to-day ways, too: Our other big news last week was that we also rolled out a cash back rewards program* for our debit card. (Spend $240 on the debit card at a place where you get 5% cash back and you just paid for an Ellevest Essential membership for a year. See? It can pay for itself.)

This builds on the “round up your change” feature that’s already available on the card. So that you can automatically save more as you spend.

We’re also investing in our private wealth management for high net worth clients who are tired of supporting the financial companies and institutions that haven’t supported them. Who believe in our mission to get more money in the hands of women. Who want to invest in a better world for all women.

Second round of confetti. More balloons. Broader smiles.

Stay tuned for more. The team is on fire.


Sallie Krawcheck Signature


Disclosures

The Ellevest Rewards program is powered by Dosh®, an unaffiliated third-party provider, which offers Ellevest banking members cash back on Ellevest debit card purchases from select merchants. Each Ellevest Rewards, Powered by Dosh program offer is available for a limited time only for qualifying purchases at participating merchants (subject to the particular offer and full program terms). Cash back amounts will vary and offers may become unavailable without notice. Additional terms, conditions and exclusions apply and can be found in the Ellevest Membership Terms and Conditions Agreement.

© 2020 Ellevest, Inc. All Rights Reserved.

*The Ellevest Rewards program is powered by Dosh®, an unaffiliated third-party provider, which offers Ellevest banking members cash back on Ellevest debit card purchases from select merchants. Each Ellevest Rewards, Powered by Dosh program offer is available for a limited time only for qualifying purchases at participating merchants (subject to the particular offer and full program terms). Cash back amounts will vary and offers may become unavailable without notice. Additional terms, conditions and exclusions apply and can be found in the Ellevest Membership Terms and Conditions Agreement.

Banking products and services are provided by Coastal Community Bank (“Coastal”), Member FDIC, pursuant to license by Mastercard International. Your Ellevest Save and Ellevest Spend account deposits will be insured to the regulatory limits by the FDIC through Coastal Community Bank, Member FDIC.

Funds held in your Ellevest investment accounts are not FDIC insured, not guaranteed by Coastal, and may lose value. Ellevest does not guarantee investment performance.

Ellevest Membership fees are as follows: Ellevest Essential is $1 per month, Ellevest Plus is $5 per month, and Ellevest Executive is $9. Other fees as described in Ellevest’s Wrap Fee Program Brochure and the Ellevest Membership Terms and Conditions Agreement will continue to apply.

Information was obtained from third-party sources, which we believe to be reliable but not guaranteed for accuracy or completeness.

All opinions and views expressed by Ellevest are current as of the date of this writing, for informational purposes only, and do not constitute or imply an endorsement of any third party’s products or services.

The information provided should not be relied upon as investment advice or recommendations, does not constitute a solicitation to buy or sell securities and should not be considered specific legal, investment or tax advice.

The information provided does not take into account the specific objectives, financial situation or particular needs of any specific person.

Investing entails risk, including the possible loss of principal, and there is no assurance that the investment will provide positive performance over any period of time.

Go ahead, invest in yourself

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Sallie Krawcheck

Sallie Krawcheck is the Co-Founder & CEO of Ellevest. Her life’s mission is to help women to reach their financial and professional goals.