Company: WLTH
Filing Date: 2025-07-28
Form Type: DRS/A
Source: 0001628279-25-000486
Chunk: 172

Company: WEALTHFRONT CORP
Filing Date: 2025-07-28
Form: DRS/A
Chunk 172
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18 By sweeping to multiple program banks, we enable our clients to access up to $8 million in FDIC insurance for individual accounts and $16 million for joint accounts. We also work with two banking partners to provide our clients a range of banking features. One banking partner establishes direct banking relationships with our clients and provides services that include a Wealthfront-branded debit card, ATM network access, and mobile check deposit. The other banking partner provides limited ACH capabilities and does not have a direct banking relationship with our clients. Through our banking partners, clients enjoy instant free money movement, and a full array of fee-free, no-strings-attached checking features—all wrapped up into one label-defying package we call a Cash Account.

• Investment Advisory

Our investment advisory products are primarily premised on the belief that it is extremely difficult to outperform the market. Therefore, we advocate a passive approach to long-term investing. We aim to excel at the three things clients can control to reliably improve their long-term, after-tax returns 19 : fees, taxes, and diversification. Clients benefit from our automated tax-loss harvesting strategies that are applied to our diversified portfolios of index-based ETFs, U.S. Direct Indexing, S&P 500 Direct, and Automated Bond Portfolios. Tax-loss harvesting benefits our clients by selling a losing investment in order to allow them to claim a tax deduction, thus giving them the opportunity to reinvest money they did not pay in taxes. For assets held in index-based ETFs, as well as our Automated Bond Portfolios, our technology harvests losses using pairs of funds that have highly correlated risk and return characteristics. For individual stocks held directly through our U.S. Direct Indexing or S&P 500 Direct Portfolios, our systems are designed to balance loss harvesting with maintaining the characteristics of the underlying index. Additionally, we offer clients the ability to invest in automated treasury bond ladders and discover and invest in individual stocks.

• Borrowing and Lending

We offer clients with a minimum account balance of $25,000 a simple, fast, and low cost way to borrow against up to 30% of the securities in their eligible accounts using a PLOC. For additional information, see the sections titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Quantitative and Qualitative Discussions of Market Risk,” “Business—Our Products” and Note 2. — Due from Clients of our consolidated financial statements included elsewhere in this prospectus.

We also enable clients to earn income by lending securities they