PenFed Credit Union has teamed up with InvestiFi to provide embedded investing services to its more than 2.79 million members.
This collaboration is designed to incorporate embedded investing features into the credit union’s existing mobile and online banking platforms, allowing members to engage in investment activities directly within their familiar digital environment without needing separate logins or external platforms.
Incorporating investments within digital banking
Through the agreement, PenFed members will have access to self-directed securities investing, a robo-advisory service known as Guided Investing, and educational resources. All these services can be accessed through the credit union’s mobile and online banking interfaces.
Members will be able to fund investment accounts directly from their existing checking accounts, and they can view their investment balances alongside standard banking activities in one unified space, eliminating the need for separate logins or third-party platforms.
This integration aims to cater to a common trend observed in digital finance, where users are willing to accept lower yields on cash deposits if it means they can invest directly from their primary bank accounts. By keeping investment activities within its own platform, PenFed hopes to reduce the flow of deposits out to external investment services, boost member engagement, and enhance its position as a comprehensive financial service provider.
Context for credit unions
PenFed Credit Union, located in the U.S., caters to nearly 2.8 million members. As credit unions increasingly face pressure to expand their digital services offerings to compete with both traditional banks and fintech providers, who have started offering investment and wealth management products, embedding investment functionality directly into banking platforms has emerged as one strategic approach.
InvestiFi, also a U.S.-based company, offers white-label investment technology tailored for integration into financial institution platforms. Its model focuses on enabling credit unions and banks to offer investment services under their own digital banking environments rather than directing members to external brokerage services.
A PenFed official commented that today’s member expectations include the ability to bank and invest in a single platform, and this partnership aligns with the credit union’s goal of making investing more accessible to its membership.
The partnership details do not disclose any financial terms or specific timelines for when all services will be fully rolled out to members.
