By Emily Nicolle on 8th November 2017
The US micro-investing app has bought Portland-based retirement fund developer Vault to help launch its new IRA product.
Through the Vault app, users can automatically set aside part of their paycheck into retirement funds. In a similar manner, Acorns allows its users to round up their purchases and invest the change in ETFs portfolios.
Through the acquisition, the platform is planning to launch its new service called Acorns Later. Current Acorns users can sign up to the waitlist to gain access when the product goes live in January 2018.
"It's our mission to look after the financial best interests of the up-and-coming, and two out of three eligible Americans aren't saving for later in life," said Noah Kerner, CEO of Acorns. "This has to change. Don't be intimidated. Don't wait! Later is yours, and it has incredible potential. Acorns Later will help you reach it."
For Acorns, the move also gives the company a head start on moving into Portland as an up-and-coming tech hub.
Vault and its employees are due to be absorbed into Acorns as part of the acquisition, with Vault CEO Randy Fernando becoming Managing Director of the new Acorns Portland office.
"We're excited to join the Acorns team and offer their customers a simple way to make smarter financial decisions today," said Fernando.
“I'm humbled that a leading LA-based tech company, whose mission is aligned with ours, is expanding into Portland and bringing new jobs to the area. Noah and the team at Acorns share the same beliefs and values as our community.”