Our Fees
It is our mission at Fynbos to demystify the complex web of financial services and fees that make investing so overwhelming.
We want to be radically transparent about our fees and how we handle your money and data. We believe that if we are 100% clear to you how we earn our money, you can feel confident that we are not biased or conflicted in designing how our platform should invest your money.
Subscriptions
Our primary source of revenue is charging a subscription fee for our product.
We do not earn any revenue from our Roots product but we do pass on all our costs. We want anybody to get started and contribute the maximum possible into their investments so we've built Roots to make that a reality.
We will earn our revenue from our (soon to be released) Protea product which will include a whole lot of additional value-added features but will require a monthly (or annual) subscription fee.
Trading
Whenever we trade on our user's behalf (i.e. buy or sell units in a money market fund or exchange traded fund) we are charged a brokerage fee. We have managed to get this down to the absolute lowest possible at 0.08% (8 basis points as the pros call it) and we simply pass this on to you as is.
Settlement
All of our trades are bulked together by our administrator and submitted once per day. This means we reduce our fees right down and the settlement fee that is charged by STRATE gets shared across all users making a trade that day. The total of the settlement fee is around R13 but obviously if this is shared it's much lower per person.
We don't know what the settlement fee is going to be when we submit the trades to our administrator but we check them when the trade completes. If the fee is more than 2 basis points (0.02%) then we will refund the excess fee into your emergency savings account so you never pay more than 0.10% in fees when you make a trade.
Fund management
All the funds have their own management fees charged by the fund administrator. This fee is charged directly to the fund so you won't see it as a line item in your transactions at Fynbos but it does impact the total return you get.
We have picked the funds with very lowest fees to ensure that the long term compounding of the fee doesn't erode your investments. You can see the fees for each fund on Our Funds page.