Why Velesios offers businesses and individuals a better option than the 1.7% Livret A

The Livret A is France’s most popular savings product. Seen as safe and liquid, it is widely used by households and even considered by businesses as a benchmark for “secure” deposits. But today, the Livret A yields only 1.7% and has strict deposit limits.

With inflation eroding value and companies seeking better cash solutions, Velesios introduces an alternative: Smart Overnight, an ETF-based treasury solution that offers unlimited deposits, daily interest accrual, and superior performance—all while maintaining liquidity and safety.

The limits of the Livret A

While the Livret A is trusted by millions, it comes with significant drawbacks:

• Low yield: currently 1.7%, far below inflation.
• Deposit cap: €22,950 for individuals, €76,500 for non-profits, leaving high earners and businesses excluded.
• No corporate option: companies cannot place excess treasury in Livret A accounts.

For businesses with substantial liquidity, and individuals seeking better performance, the Livret A no longer matches financial needs.

Smart Overnight: a modern alternative

Velesios offers Smart Overnight, an ETF solution designed as the closest equivalent to a “Livret A without limits”:

• Unlimited deposits: no maximum ceiling, suitable for both individuals and businesses.
• Daily interest accrual: returns are calculated every day, ensuring regular growth.
• Low risk: the ETF tracks the euro money market, one of the lowest-risk asset classes available.
• Higher yield: historically above the Livret A, offering stronger protection against inflation.
• Liquidity: funds remain accessible at any time, just like a bank deposit.

Why this matters for businesses

For companies, idle cash often sits on non-yielding accounts or low-return term deposits. Smart Overnight offers a corporate treasury solution with:

• The same liquidity as a demand deposit
• Superior performance to term deposits
• No deposit limits, unlike Livret A
• A scalable solution for small businesses, SMEs, and large corporates alike

This makes Smart Overnight a unique “corporate Livret A”, something the French banking system does not offer.

How to invest with Velesios

At Velesios, the process is simple and efficient:

• Easy onboarding: open an individual or corporate securities account directly on the Velesios platform.
• Interactive Brokers partnership: execution and custody handled in the background with one of the world’s leading brokers.
• Lower costs: order aggregation allows us to reduce transaction fees and improve efficiency.
• User-friendly dashboard: a modern interface makes ETF investments as easy as online banking.

Conclusion

The Livret A remains a cultural icon in France, but at 1.7% and with strict limits, it no longer meets the needs of modern investors or businesses.

With Smart Overnight, Velesios provides a secure, liquid, and unlimited alternative—offering businesses and individuals the Livret A they always wanted: daily interest, no deposit cap, and better yields.

FAQ: smart overnight vs Livret A

Why is the Livret A limited?
By law, the Livret A has strict deposit ceilings, preventing households and businesses from placing large sums.

Does Smart Overnight carry risks?
It follows euro money market indices, one of the lowest-risk asset classes, making it comparable in safety to deposits.

Can businesses invest in Smart Overnight?
Yes. Unlike Livret A, Smart Overnight is accessible for both companies and individuals.

How does Smart Overnight generate interest?
The ETF accrues daily interest from the euro money market, offering steady growth.

Why is Smart Overnight better than a term deposit?
It combines liquidity, unlimited deposits, and higher yields, whereas term deposits lock funds and pay less.

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Sources & references

• Banque de France – Household savings
• Interactive Brokers – Brokerage solutions
• AMF – Financial markets regulation in France‍
• Amundi Smart Overnight Return UCITS ETF – Factsheet‍
• Amundi EUR High Yield Corporate Bond ESG UCITS ETF – Factsheet