Automated Portfolios

Prebuilt portfolio options designed around risk tolerance, time horizon, and expected spending needs.

SpendCycle offers Automated Portfolios designed to match a family's investment horizon, liquidity needs, and risk profile — so your custodial account works for you over the long run, not just as a holding account.

Designed for Real Family Timelines

Built for responsible custodial investing

Most investment platforms offer generic portfolios built for retirement. SpendCycle's Automated Portfolios are designed specifically for custodial accounts — where families need to balance long-term growth with the reality that some of that money will be spent on real child expenses along the way.

More growth-oriented portfolios are intended for longer horizons, while more conservative portfolios are designed for nearer-term spending needs and lower volatility.

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Conservative

Prioritizes capital preservation and lower volatility. Designed for families with nearer-term spending needs or a lower risk tolerance.

Lower volatility

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Moderate

Balances growth and stability. A balanced approach for families planning ahead while still expecting some near-term custodial expenses.

Balanced growth

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Growth

More growth-oriented for families with a longer investment horizon and comfort with market fluctuations over time.

Longer horizon

How It Works

Portfolio-aware from day one

Choose your portfolio at setup

During account setup, you select a portfolio that matches your family's time horizon and expected spending pattern. SpendCycle uses this to guide how your custodial account is invested.

Your portfolio runs automatically

Contributions are invested into your chosen portfolio automatically. No manual stock picking, no rebalancing decisions. The system handles allocation based on your selected risk profile.

Reimbursements are portfolio-aware

When a reimbursement needs to be funded, SpendCycle's Money Mover agent uses available cash first. If liquidation is needed, it does so intelligently — minimizing impact on your long-term allocation.

A note on responsible expectations Automated Portfolios are designed to support custodial investing as part of a family financial workflow — not as a guaranteed return vehicle. All investing involves risk, including the possible loss of principal. Portfolio values fluctuate with market conditions. Past performance is not indicative of future results. SpendCycle does not provide investment advice. Consult a qualified financial advisor before making investment decisions.

Tax Efficiency

The tax advantage that makes custodial investing worthwhile

UTMA custodial accounts allow your child's investment income to be taxed at the child's rate — not yours — under IRS Kiddie Tax rules.

This means a portfolio generating meaningful monthly income may carry a significantly lower tax liability than the same income in a parent's account, regardless of your personal tax bracket.

Connected to Automated Portfolios

SpendCycle's Automated Portfolios are designed with this tax structure in mind. When combined with Receipt Pilot's reimbursement tracking, families can use investment income for qualifying custodial expenses — with a full audit trail for every dollar.

Illustrative UTMA Example

Based on IRS Kiddie Tax rules. Illustrative only — not a projection.

Portfolio Value $27,000

Hypothetical Annual Return 10% (illustrative)

Hypothetical Monthly Income $270 / mo

Est. Annual Tax Liability ~$135

Est. After-Tax Monthly Income ~$259 / mo

Illustrative example only. Actual returns, income, and tax treatment will vary based on investment performance, portfolio composition, and individual tax circumstances. Not tax or legal advice. Consult a qualified tax professional.