20 January 2021
Openbank, the 100% digital bank belonging to Grupo Santander, has closed 2020 with record results for its investment platform ‘Openbank Wealth’. The bank reported 17% annual growth in assets under management in the investment products and services it offers its customers.
The automated investment service (robo-advisor), whereby customers can invest alongside the Openbank Investment Committee (advised by BlackRock and Santander Asset Management), posted 112% year-on-year growth in its assets under management. With the exception of March, when the COVID-19 health crisis was at its peak, the service achieved positive net inflows every month in 2020. Over the past year, the five strategies of the robo-advisor automated investment service, designed on the basis of portfolios made up of actively managed and index investment funds of up to 23 different asset classes, managed to withstand a distinctly volatile market context, so much so that it posted positive results at financial year-end. Cumulative returns ranged from 1.18% to 3.98% in 2020 (from 6.3% to 15.7% since the launch of the service).
Openbank kept its customers constantly updated on its investment strategy during all market phases last year, explaining its market vision and analysing the different episodes of a period characterised by volatility. The bank sent 25 market updates and ran several live webinars in the first half of the year alone.
In terms of investment funds, Openbank’s catalogue of more than 2,000 funds from over 100 asset managers registered record net inflows overall in excess of 260% compared to the year before.
Meanwhile, the range of 35 pension plans from 5 different asset managers available to Openbank customers reported a 55% increase in net inflows compared to 2019.
Openbank’s broker, where customers can invest in more than 4,000 stocks listed on 25 different markets, as well as 1,000 ETFs and the full range of warrants on the Spanish market, also registered a strong uptick in customer investment activity.
The number of market orders doubled in 2020 compared to 2019, with a significantly sharp increase during the months of lockdown in Spain. Among these transactions, buy orders accounted for 62% of total trades, reflecting strong investor appetite throughout 2020.
Openbank offers customers one of the market’s most comprehensive and cutting-edge investment platforms, accessible at all times through the Openbank website and app, as well as a team of investment specialists who are on hand to help.