INVEST For Amex By Vanguard (Annual Membership Rewards Bonus)

American Express & Vanguard have announced a new product offering called ‘INVEST For Amex By Vanguard‘.

  • Management fee of 0.5% (no fee for first 90 days)
  • American Express Membership Rewards bonus based on the average annual taxable assets in your account(s) managed by INVEST:
    • Earn 5,000 points if you have taxable assets of at least $50,000 and up to $100,000
    • Earn 25,000 points if you have taxable assets greater than $100,000 and up to $500,000
    • Earn 50,000 points if you have taxable assets greater than $500,000
  • Complimentary 30-minute consultation where you can talk with a Vanguard advisor. Ongoing consultations when you have $100,000 or more in your account(s) managed by INVEST

Can’t really see this being worth doing with the advisory fee of 0.5% (normally the Vanguard fee is 0.3%).

Hat tip to reader D G Liu
    William Charles
  • On April 13, 2022, 09:00
Tags: american expressbrokerage bonusesvanguard

View Comments (26)

  • Vanguard letting Amex in their bed? Bad move, Vanguard...will our retirements be clawed back too?

  • Don't forget the extra 0.15% (max $75) bonus to your savings account returns.

    "With INVEST, you can earn a cash bonus based on the average daily balance in your American Express High Yield Savings Account over the 12 months prior to your INVEST anniversary. Get $15 for every $10,000 (up to $50,000) in your Amex Savings account – that’s a cash bonus of up to $75 annually. Limit one bonus per savings account.4"

    So... what's the minimum balance/fees in INVEST? (A: Looks like $3000)

    Net advisory fee is expected to be about 0.45% (reduced from the gross of 0.50%)

    So... for a $3000 minimum in INVEST (to prevent unenrollment), at 0.50% (worst case, assuming no credits on the GAF) will cost you $15, but your $50k HYSA balance could potentially earn an extra $75.

    • That $75 bonus on $50,000 is 0.15% (or 0.12% after subtracting the $15 cost). The HYSA is currently only giving 0.50%, right? So this would make it 0.62%, which still isn't good.

    • Maybe a good option for those looking to make a big purchase soon, but most people with those assets would probably not want to keep 50k+ in cash.

  • makes no sense. the normal Vanguard advisory fee is 0.3%. So this Amex partnership fee goes up to 0.5%? in exchange you get a few MR points and the privilege of knowing Amex is taking a cut?

  • Anybody combed to find the deal Amex x Vanguard is offering? It appears they're overcharging for Amex coupon holders lol

    • Jacked up advisor service to 0.3% to 0.5% for Amex customers and pay Amex a kickback. It's a big F you to customers since they can just go directly to Vanguard and pay 0.3% for the same service. Paying Amex for the privledge of being pimped out.

  • Even if we ignore the management fee and the pathetic bonus, "Complimentary 30-minute consultation" is laughable. So, I pay you a fee to invest my money, and in return, if I need to consult with you, you'll do me a favor and provide a "Complimentary 30-minute consultation" . What a joke.

  • That's nothing compared to the points you can earn paying your tax bill the next time vanguard triggers a large taxable event in their target date funds!

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