What is a flexible cash fund?

Our flexible cash fund lets you invest with low risk and aim for higher returns. Invest from €1 and earn up to 2.1% p.a.*, with the freedom to withdraw your invested money anytime.

Our flexible cash fund is a money market fund that invests in stable, short-term instruments like government bonds and high-quality corporate debt. The goal is to generate steady returns that closely follow current central bank interest rates.

Returns come from the interest earned on the fund’s underlying assets. The yield is variable and can change over time based on market conditions and European Central Bank (ECB) interest rates.

If you’re eligible, you can find the flexible cash fund in the Investments or Wealth tab in your N26 app. Eligibility may vary depending on your country and can change over time.

To start investing:

1. Go to the Investments or Wealth tab and select ‘Flexible cash fund’.
2. Choose the amount you’d like to invest from your main account, Instant Savings, or a Space.
3. Confirm your investment.

The main benefits of our flexible cash fund include:

• Lower-risk approach: A flexible cash fund invests in short-term assets that are generally considered lower risk than stocks or ETFs.
• Flexible access to your money: You can add or withdraw funds without fixed terms or lock-up periods.
• Start from a small amount: You can invest from €1.

Our flexible cash fund aims to generate returns from the interest earned on short-term investments, like government bonds and corporate debt. The yield is variable, which means it can change over time depending on market conditions and ECB interest rates. 

Returns accrue daily and are paid out monthly. You can track your investment performance anytime in the app.

There are no subscription, trading, custody, or withdrawal fees for investing in a flexible cash fund with N26. You also won’t pay currency conversion fees, as all assets are traded in euros.

Our flexible cash fund may still include annual fund-level costs charged by the fund provider. These costs aren’t charged separately from your main account. Instead, they’re reflected automatically in the value of the fund. The applicable annual fund costs are shown in the product documents before you invest.

No. A flexible cash fund is an investment product. Your money is invested in a fund rather than held in a bank account. A flexible cash fund isn’t covered by deposit protection schemes, and the value of your investment can go up or down.

A flexible cash fund is considered lower risk than many other investment products, but all investments carry some level of risk. The value of your investment can fluctuate, and past performance doesn’t predict future results.

There’s no lock-in period, so you can withdraw your money at any time. Keep in mind that sale proceeds may take up to two business days to reach your account.

In Germany, taxes on realized capital gains are automatically withheld and transferred to the tax authorities. Tax is only calculated on realized gains. You can exempt a portion of your capital gains from automatic tax withholding by submitting an exemption order (Freistellungsauftrag).

For more information, read our German taxation FAQ (new tab).

In other markets, N26 doesn’t withhold or deduct taxes on your behalf. You’re responsible for declaring any relevant investment income in your local tax return.

The variable annual return rate shown (€2.11%) is presented net of fees and reflects information provided by  the fund manager, Fidelity, as of April 29, 2026. This rate is subject to change on a daily basis.

All investments carry a risk of capital loss. A flexible cash fund is not a guaranteed investment, and a total loss of your investment is possible at any time. Investing in a flexible cash fund differs from an investment in deposits. The capital invested may fluctuate. The flexible cash fund does not rely on external support to guarantee its liquidity or to stabilize its net asset value per share. Before investing, please assess your financial situation carefully and consider seeking independent advice, review as well the Key Information Document (KID (new tab)) and our full Terms & Conditions (new tab).
These statements do not constitute financial advice. Service of reception and transmission service for financial instruments by N26 Bank SE (Voltairestr. 8, 10179 Berlin, Germany CR Berlin Charlottenburg HRB 271697 B). Execution and securities custody by Upvest Securities GmbH (Schlesische Straße 33/34, 10997 Berlin, Germany, HRB 232445 B). Fund issued, and managed by Fidelity (RCS B88635).

A flexible cash fund is a regulated investment product managed by Fidelity. The fund carries a low risk rating of 1 out of 7 and has a suggested minimum holding period of six months. As with all money market funds and other investments, there are inherent risks, including market, liquidity, and volatility risks.