New open architecture enables brokerage of savings deposits via independent financial advisors

Jung, DMS & Cie. to market call money and term deposit offers from ZINSPILOT

Hamburg, May 15, 2015 – The advisers of the broker pool Jung, DMS & Cie., a subsidiary of JDC Group are now able to feature call money and term deposit offers from ZINSPILOT to their customers. With this collaboration, the Hamburg FinTech company is promoting its open architecture solution for savings deposits. Financial institutions, brokers and intermediaries can therefore expand their range of offers and strengthen their customer loyalty.

The broker pool Jung, DMS & Cie. and the financial service provider FiNUM, both subsidiaries of the listed JDC Group, are now supplying call money and fixed deposit offers from various banks listed on the platform ZINSPILOT. This way, JDC is now providing to its 16,000 independent advisers, brokers and financial service providers access to the most popular savings product in Germany.

Thanks to the single account solution provided by ZINSPILOT, the call money and term deposit offers can be easily executed through a clearing account. With the plug-and-invest supplement to the service, advisers can for the first time, instruct their customers comprehensively over a wide range of asset classes, including call money and term deposits.

Sebastian Grabmaier, CEO of the JDC Group, is delighted: “The sales partners of Jung, DMS & Cie. and FiNUM are familiar with the principle of open architecture due to our previous range of fund, finance and insurance products. Until now only savings were an unused form of investment here, although 30 million Germans utilise these products. A customer survey revealed that savings deposits account for approximately 70% of the assets of our over 900,000 end customers. In the past that was a major competitive disadvantage of independent financial service providers, which we are now transforming into an advantage. We are enabling our advisers to tap into perhaps the most important asset class and we are therefore putting them on an even footing with banking advisers, or maybe even ahead of them – because unlike the banks we are truly independent with the ZINSPILOT solution, and we can supply our customers with a spectrum of attractive offers from a wide range of third party banks. With this, we are once again demonstrating our innovative edge over our competitors.”

A comprehensive product range strengthens customer loyalty

The sales partners of Jung, DMS & Cie. currently have access to 21 call money and term deposit offers from five different banks, including the best offers on the market – with call money offers at 1.4% and three-year term deposits at 2.2%. Furthermore, mostly all investments can be executed with just one Euro. The offers list is regularly updated and extended.

Dr. Tim Sievers, founder and CEO of ZINSPILOT, cites further advantages of the open architecture platform: “The sales partners of Jung, DMS & Cie. are familiar with the principle of open architecture due to their previous range of fund, finance and insurance products. Until now only savings were an unused form of investment here, although 30 million Germans utilise these products. That makes call money and term deposits an important argument in favour of customer acquisition and loyalty, which eases the everyday consultancy work of the pool members right away.”

Simpler process for maximum customer benefits

The sales partners are able to quickly and transparently secure the savings offers using an offline process developed in-house. The advisors facilitate the opening of a one-time ZINSPILOT account with Sutor Bank – on location directly with the customer. The customer is subsequently able to execute investments from its principal bank account, simply by citing the intended purpose. The banks taking deposits are not permitted to contact the customers and do not have any individual account relationship with them.

Ralph Konrad, CFO of the JDC Group, says: “As a broker pool, we provide our members with an attractive, provider-independent product range. Through the integration of ZINSPILOT, our partners can now also offer their customers a market-leading product range in the call money and term deposit sector for the first time. Furthermore, savings products offer an ideal possibility to park money – for example from mature life assurance policies. With ZINSPILOT, Jung, DMS & Cie. is integrating a user-friendly, intelligent solution through which customers can have access to liquid assets. This benefits the investor – who can access top interest rates, and our partners – who can manage significantly more investment capital.”

Transformational technology takes off

ZINSPILOT is a brand of Deposit Solutions GmbH, which is quickly advancing the expansion of its open architecture for savings deposits through the connection of new partners. The aim is to rethink the 9 billion Euros European market for private savings deposits.

In the first quarter of 2016, Deposit Solutions GmbH was able to announce the integration of Germany’s largest bank, Deutsche Bank, to its platform. The above means that Deutsche Bank can now offer its clients across Europe call money and fixed-term deposits from various third party banks, called Product Banks, as a white label service. Furthermore, Flatex, Germany’s leading online broker, also announced a cooperation with Deposit Solutions.

At the start of 2016, Deposit Solutions was also able to announce the appointment of the star investor Peter Thiel. The PayPal founder is convinced by the transformative infrastructure, which delivers threefold added value: On the one hand, the marketing partners can deliver best-in-class interest rate offers to their customers, which protect exclusive customer relationships and avoid costly surplus liquidity. Secondly, investors are able to put together a portfolio of savings offers from numerous providers with just a single account, and manage this from one location – just as they do now with their stock and funds portfolio. Thirdly, banks with a need for retail deposits are able to acquire cross-border capital due to their rapid access to a broad customer base, without needing to operate a complex retail infrastructure of their own or implement expensive marketing measures.