Frequently Asked Questions
Here you’ll find the most frequently asked questions and details about our services, solutions and processes.
What is Dvdendo’s investment approach or strategy?
Dvdendo helps you invest a small portion of your daily expenditures in a diversified, passively managed portfolio made up of thousands of stocks and bonds. We invest your money exclusively in ETF’s which provide broad diversification and high liquidity at a low cost.
Our investment approach is passive. This means that we don’t try to time the market or pick winners and losers. Instead we invest your money with a longer time horizon in many of the world’s greatest companies and safest government bonds, following the proven framework of the Nobel Prize winning research known as Modern Portfolio Theory.
Our investment team is made up of experts with multiple decades of experience managing portfolios at some of the world’s largest financial institutions, including Franklin Templeton, Merrill Lynch, Nomura and XP Securities. We have designed an automated process that leverages real world market experience and proven quantitative methodologies with the cost savings power and efficiency provided by modern technology.
I live outside of the U.S. Can I open an account?
At the moment Dvdendo does not support international clients but will very soon.
Where are my funds being held?
Your funds are being held at Apex Clearing Corporation in a brokerage account in your name.
Why does Dvdendo use Apex Clearing Corporation?
Apex is a leading provider of clearing and execution solutions to the financial services industry and its customers are some of the largest and most sophisticated institutional and retail brokers in the financial world.
Apex is a member of NYSE, FINRA and SIPC and is regulated by the U.S. Securities and Exchange Commission. Apex allows Dvdendo to offer customers a full digital experience, from onboarding, account verification, signatures and reporting. Apex only engages in agency execution and clearing, meaning it does not engage in proprietary trading. The firm maintains regulatory capital that is four times the regulatory requirement.
Is my money safe?
Security is as important to us as it is to you. That’s why we’ve taken every step possible to ensure the privacy of your personal and financial information as well as the integrity of the assets held in your name.
- All Dvdendo accounts are insured by the SIPC up to $500,000 in the case of fraud. Even if something happens to Dvdendo, your securities are safe.
- Our website is secured with 256-bit encryption, the strongest industry standard specification.
- Your personal information is encrypted and stored behind firewalls in secure servers that are continuously safeguarded. We will never share your data with any third party without your permission.
- We verify account ownership to ensure that your funds are secure and that any electronically linked checking account belongs to you.
- Dvdendo is a registered investment advisor with the SEC (Securities and Exchange and Commission).
How is Dvdendo different than a savings account?
Dvdendo is not a bank and does not offer savings acccounts. Dvdendo offers investment advisory services, meaning your funds are held in a brokerage account and invested in a portfolio of securities. Depending on market fluctuations, your account value will change on a daily basis and can go up or down. Historically, investing in a diversified, longer term portfolio of bonds and stocks has significantly outperformed cash balances held in bank savings accounts.
Does Dvdendo check my credit?
Dvdendo does not run a credit check on our customers. To open your investment account, we are required by regulators to verify your identity which we do by connecting to your bank account. We are also required to obtain your social security number and store that along with your account information in our secure servers.
How secure is my personal information on Dvdendo?
Your personal information is encrypted and stored behind firewalls in secure servers that are continuously safeguarded. We will never share your data with any third party without your permission.
What type of accounts investment accounts does Dvdendo Support?
Currently, Dvdendo supports taxable accounts, IRA’s, Roth IRA’s and SEP IRA’s. In the future we will support 401K plans. Clients can transfer or open new IRA accounts and taxable investment accounts at Dvdendo.
Who may open an account at Dvdendo?
Dvdendo supports all US citizens and permanent residents as well as resident aliens with a variety of visa types. Please see our onboarding form for more information. You must be 18 years or older to open an account.
Is there a minimum amount required to invest at Dvdendo?
There is no minimum amount. Accounts can be opened with a zero balance and incur no fees until funded for the first time. To activate your recommended portfolio and be fully invested you will need a minimum balance of just $5.
What is in my Dvdendo portfolio?
Your portfolio at Dvdendo will be invested across a diversified set of assets, including stocks and bonds, but all of them via ETF’s. An exchange-traded fund (ETF) is a security that tracks an index, a commodity or a basket of assets just like an index fund, but trades like a stock on an exchange. Dvdendo uses ETFs in all of our portfolios because of the liquidity, diversification, and low management fees they provide.
What does Dvdendo cost?
Dvdendo charges a monthly membership fee of $1 for accounts with less than $5,000. For accounts with a balance of $5,000 or more you will only pay a simple 0.25% annual advisory fee which will be deducted proportionally on a monthly basis.
Can my investment account at Dvdendo lose value?
Investing in securities involves risk and the potential for both gains and losses. Depending on market fluctuations, your account value will change on a daily basis and can go up or down. Over the short term, these fluctuations are very hard to predict, but historical data shows that over the long run investing in a diversified, portfolio of bonds and stocks has significantly outperformed cash balances held in bank savings accounts.
Are there costs to deposit or withdraw money?
There are no additional costs to deposit or withdraw money from your account. Your monthly fee includes unlimited transfers into and out of your account.
Are there costs to trade?
There are no costs for changing your risk profile and its corresponding portfolio composition. You can change your risk profile at any time on the Summary page of your account dashboard.
Is Dvdendo a regulated financial institution?
Dvdendo is an SEC registered investment advisor.
Where can I see my tax documents?
Your tax documents can be found in the “Documents” section of your account management dashboard.