Our journey began as a mission that every dollar you invest would have a positive impact on the world. Together, we built a product that allows you to invest in companies innovating to solve global challenges. While we’re incredibly proud of what we’ve accomplished together, Swell was not able to achieve the scale needed to sustain operations in the current market. As a result, we will be closing. Beginning Wednesday, July 24, 2019, Swell will no longer be accepting new clients or deposits, and any accounts with a $0 or negative balance will be closed.
Below we’ve mapped out how this impacts you and next steps. Swell investors can still log in through August 30, 2019. Rest assured that your investments are safe and you will not lose money solely as a result of this change.
We’re grateful to our investors for believing in Swell. While we cannot continue the journey with you, we hope you will continue to support companies working towards positive social and environmental change.
Your Options as a Swell Investor
Investors have two options available between today and August 30, 2019:
Sell & withdraw your investments
Login to your Swell account and withdraw your funds into your bank account. For step-by-step instructions on how to do this, click here.
For IRA account holders, you’ll receive additional details in a separate email. Read more about this option here.
Choose a new investment platform
Transfer your Swell account to the investment platform of your choice. This is also known as an ACAT.
Please note that the deadline for beginning a transfer is August 15th. We cannot guarantee that transfers initiated after this date will process successfully.
For step-by-step instructions on how to do this, click here.
Swell will terminate your advisory agreement effective August 30, 2019. If you do nothing by August 30, 2019, Swell will direct Folio Investments, Inc (“Folio”), your current custodian, to sell out of your positions and disburse the balance of your account via check or ACH. ACH transfers will be sent to the active bank link on file. Checks will be mailed to your address of record. For this reason, please ensure this information is up to date.
To best assist with this transition, we are waiving our management fee for the month of August. In addition, we will cover all of the account transfer fees and account closing fees normally imposed by Folio.
Frequently Asked Questions
Why is Swell shutting down operations?
While we’re incredibly proud of what we’ve accomplished together, Swell was not able to achieve the scale needed...read more
What happens to my money?
Rest assured that your investments are safe and you will not lose money solely as a result of this change. Your cash...read more
What do I need to do?
You have two options available to you between today and August 30th. Login to your Swell account and....read more
What happens after August 30, 2019?
Any account that still has a balance on Friday August 30, 2019 will be liquidated and closed. If your bank account...read more
This website is operated by Swell Investing LLC, an SEC Registered Investment Adviser. Brokerage services provided to clients of Swell Investing LLC by Folio Investments, Inc., an SEC registered broker-dealer and member FINRA/SIPC.
Swell Investing does not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on, for tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.
Swell and its broker-dealer/custodian, Folio are regulated by the SEC. We follow a strict set of rules designed to protect our investors' accounts.
FINRA & SIPC
Swell's broker-dealer/custodian, Folio, is a member of FINRA and SIPC. Securities in your account are protected up to $500,000.
This website is operated by Swell Investing LLC, an SEC Registered Investment Adviser. Brokerage services provided to clients of Swell Investing LLC by Folio Investments, Inc., an SEC registered broker-dealer and member FINRA/SIPC. Investments: Not FDIC Insured • No Bank Guarantee • May Lose Value. Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Please consider your objectives and Swell’s fees before investing. Past performance does not guarantee future results. Investment outcomes and projections are hypothetical in nature. Not an offer, solicitation of an offer, or advice to buy or sell securities in jurisdictions where Swell is not registered. Friede, Gunnar, Timo Busch & Alexander Bassen. "ESG and financial performance: aggregated evidence from more than 2000 empirical studies." Journal of Sustainable Finance & Investment, vol. 5, no. 4, 15 Oct. 2015, pp 210-233. https://doi.org/10.1080/20430795.2015.1118917. "S&P 500" is an abbreviation for the Standard & Poor's 500 Total Return Index, a market-value weighted index of 500 stocks chosen to reflect the risk/return characteristics of the large cap universe and one of the common benchmarks for the US stock market. The MSCI KLD 400 Social Index comprises companies with high Environmental, Social and Governance (ESG) ratings and excludes companies involved in Alcohol, Gambling, Tobacco, Military Weapons, Civilian Firearms, Nuclear Power, Adult Entertainment, and Genetically Modified Organisms (GMO). The Index aims to serve as a benchmark for investors whose objectives include owning companies with very high ESG ratings and avoiding companies that are incompatible with specific values-based criteria. Comparison to the S&P 500 Index and MSCI KLD 400 is shown for illustrative purposes only. Swell's portfolios differ from these benchmarks in that, among other factors, Swell's portfolios are managed, primarily comprised of small and mid cap stocks, are not diversified, bear fees, and may vary materially in volatility. Past performance is not indicative of future results.
The Swell Impact 400 is not a market index, is not based on any market index, and does not track any market index. At inception, the Swell Impact 400 contains 400 securities; however, the number of securities may vary over time based on market conditions, corporate actions, and other factors, including eligibility factors and limitations in security selection and portfolio construction. Any reference to "Impact 400" shall mean the "Swell Impact 400."