How does Blossom make money?

Blossom is free to join. We do not charge transfer or withdrawal fees nor any account opening fees when using the Blossom app.‍

At Blossom, we put the customer first. Up to the targeted return (whether it’s Blossom Save’s 6.20% p.a., Blossom Plus’s 6.70% p.a. or Blossom Grow’s 7.20% p.a.) is earned by the Blossom customers first. Then our total of up to 1.2% p.a. in management fees are paid out in the following waterfall-like structure:

• The first 0.7% is paid to the liquidity manager - Fortlake Asset Management Limited (unless and to the extent any of that is waived by the liquidity manager).
• The next 0.5% is paid to the Responsible Entity to cover expenses (there is no responsible entity fee).

BlossomApp makes money through a Threshold Management Fee. This means that when the Class in the Fund makes more than the target return and the management fees are paid, the excess will be paid to BlossomApp. This helps BlossomApp (in its discretion) pay into the Fund when the Class returns less than the target returns of the day. Importantly, the threshold management fee is paid out of the Blossom Fund, it is not paid directly by you.

For more information on fees and costs, please read the PDSs.