Does First Savings Bank Offer Investment Accounts? What You Need to Know
When most people think of a bank, they think of checking accounts, savings accounts, and maybe a loan or two. But as personal finance becomes more accessible and more Americans look beyond traditional savings to grow their wealth, a common question arises: does my bank offer investment accounts too?
If you're a First Savings Bank customer — or considering becoming one — you may be wondering whether you can consolidate your saving and investing under one roof. This guide takes a thorough, educational look at what investment accounts are, what types of investment products banks typically offer, what to expect from First Savings Bank in this area, and how to build a smart investment strategy regardless of where you are on your financial journey.
What Are Investment Accounts?
Before exploring what First Savings Bank may offer, it's worth establishing a clear understanding of what investment accounts are and how they differ from standard bank accounts.
A savings account or money market account holds your money safely and earns a modest, predictable rate of interest. Your principal is protected, and the account is typically insured by the FDIC up to $250,000. These accounts are ideal for emergency funds, short-term goals, and preserving capital.
An investment account, by contrast, is designed to grow your wealth over time by putting your money to work in financial markets. Instead of earning a fixed interest rate, your returns depend on the performance of the assets you invest in — which can include stocks, bonds, mutual funds, exchange-traded funds (ETFs), certificates of deposit (CDs), and more.
The key distinction is risk versus reward. Savings accounts offer security but limited growth. Investment accounts offer the potential for significantly higher returns but come with the possibility of losing some or all of your principal, depending on the type of investment.
Understanding this distinction is essential before deciding where and how to invest.
Types of Investment Accounts Commonly Offered by Banks
Many banks — particularly larger institutions and community banks with expanded financial services — offer a range of investment-related products, either directly or through affiliated brokerage or wealth management partners. Here are the most common types:
Certificates of Deposit (CDs)
CDs are one of the most bank-native investment products available. When you open a CD, you agree to deposit a fixed amount of money for a specified term — anywhere from a few months to several years — in exchange for a guaranteed interest rate that is typically higher than a standard savings account.
CDs are considered low-risk because they are FDIC-insured and offer a predictable return. The trade-off is liquidity: withdrawing your funds before the CD matures usually results in an early withdrawal penalty. For conservative investors or those saving toward a specific future goal with a known timeline, CDs can be an excellent option.
Individual Retirement Accounts (IRAs)
Many banks offer IRAs — tax-advantaged accounts designed specifically for retirement savings. There are two primary types:
Traditional IRA: Contributions may be tax-deductible depending on your income and whether you have access to an employer-sponsored retirement plan. Your investments grow tax-deferred, meaning you pay taxes only when you withdraw funds in retirement.
Roth IRA: Contributions are made with after-tax dollars, but your investments grow tax-free, and qualified withdrawals in retirement are also tax-free. Roth IRAs are particularly advantageous for younger investors who expect to be in a higher tax bracket in the future.
IRAs held at banks are often invested in low-risk, FDIC-insured products like CDs or savings accounts, which limits their growth potential compared to IRAs held at brokerage firms. However, bank-based IRAs offer security and simplicity, which appeals to conservative investors.
Brokerage and Investment Accounts
Some banks partner with brokerage firms or have their own investment divisions to offer full-service or self-directed brokerage accounts. These accounts allow customers to invest in a wide range of securities — stocks, bonds, mutual funds, ETFs, and more.
Through these accounts, customers can build diversified investment portfolios tailored to their risk tolerance, time horizon, and financial goals. Access to professional financial advisors or wealth managers may also be available, either at an additional cost or as part of a premium banking relationship.
Managed Investment and Wealth Management Services
Larger banks and some community banks offer wealth management or financial advisory services for customers with significant assets to invest. These services typically involve a dedicated financial advisor who helps you develop a comprehensive investment strategy, manage your portfolio, and plan for long-term goals like retirement, education funding, or estate planning.
Wealth management services usually come with minimum investment thresholds and fee structures based on a percentage of assets under management (AUM). They are best suited for customers with more complex financial situations or those who prefer a hands-off, professionally managed approach to investing.
What to Expect from First Savings Bank's Investment Offerings
First Savings Bank, like many community-focused financial institutions, prioritizes accessible, straightforward banking products that serve the needs of everyday savers and local businesses. While specific product offerings may vary and evolve over time, here is what customers can generally expect from a bank of this nature:
Certificates of Deposit are almost universally offered by savings banks and are likely among First Savings Bank's core investment-adjacent products. These provide a safe, predictable way to earn more than a standard savings account, making them suitable for conservative investors or those saving toward a defined goal.
IRA options — particularly CD-based IRAs — are also commonly available at community banks and savings institutions. These allow customers to save for retirement within a tax-advantaged structure while maintaining the security of FDIC insurance.
Wealth management or brokerage services may be available through third-party partnerships. Many community banks collaborate with established investment firms to offer their customers access to broader investment products without building an in-house brokerage operation. If you're interested in these services through First Savings Bank, it's worth contacting them directly to ask about current partnerships and available options.
For the most accurate and up-to-date information about First Savings Bank's specific investment account offerings, visiting their official website or speaking with a banker in person is always recommended. Product availability, terms, and partnerships can change, and a bank representative can give you a clear picture of what is currently available to you.
The Difference Between Banking and Investing: Why It Matters
One of the most important concepts for any investor — beginner or experienced — to understand is that banking and investing serve different purposes and should be approached as complementary strategies rather than interchangeable ones.
Your bank is the right place for your emergency fund, short-term savings, and any money you may need access to within the next one to three years. The security and liquidity of a savings account or money market account make it ideal for funds you cannot afford to lose.
Your investment accounts, on the other hand, are best suited for money you can set aside for the long term — ideally five years or more. The longer your investment horizon, the more time your portfolio has to recover from market downturns and benefit from the power of compound growth.
A well-rounded financial strategy typically involves both: a solid banking foundation for security and liquidity, layered with investment accounts designed for long-term wealth accumulation. Understanding which type of account to use for each purpose is one of the most valuable financial literacy skills you can develop.
Building an Investment Strategy: A Framework for All Levels
Whether you're a first-time investor just getting started or someone looking to optimize an existing portfolio, the following framework provides a structured approach to building your investment strategy:
Step 1: Establish Your Financial Foundation
Before investing a single dollar, make sure your financial basics are in order. This means having a fully funded emergency fund (three to six months of living expenses in a liquid savings account), paying off high-interest debt, and having a clear monthly budget. Investing on an unstable financial foundation is like building a house on sand.
Step 2: Define Your Goals and Time Horizon
Are you investing for retirement 30 years from now? Saving for a child's college education in 10 years? Planning to buy a home in five years? Your goals and the time you have to achieve them should drive every investment decision you make, from the types of accounts you open to the assets you choose.
Step 3: Understand Your Risk Tolerance
Risk tolerance is your ability and willingness to endure fluctuations in the value of your investments. Younger investors with long time horizons can generally afford to take on more risk, since they have time to recover from market downturns. Those closer to retirement or with shorter goals should prioritize capital preservation with lower-risk investments.
Step 4: Diversify Your Portfolio
Diversification — spreading your investments across different asset classes, industries, and geographic regions — is one of the most effective ways to manage risk. A diversified portfolio is less vulnerable to the poor performance of any single investment or sector. Index funds and ETFs are popular tools for achieving diversification efficiently and at low cost.
Step 5: Start Early and Invest Consistently
Time in the market consistently outperforms attempts to time the market. The earlier you begin investing, the more your money benefits from compound growth. Even small, regular contributions — made consistently over time — can grow into significant wealth over decades. Automating your investment contributions removes the temptation to delay and ensures you stay on track regardless of market conditions.
Step 6: Review and Rebalance Regularly
Your investment portfolio is not a set-it-and-forget-it endeavor. Review your portfolio at least once a year to ensure your asset allocation still aligns with your goals and risk tolerance. As markets move, your portfolio may drift from its target allocation, requiring rebalancing to restore the right balance between growth and security.
When to Seek Professional Financial Advice
Investing can be done independently, particularly with today's abundance of educational resources and low-cost investment platforms. However, there are situations where working with a professional financial advisor adds significant value:
When your financial situation is complex — such as managing an inheritance, planning for a business succession, or navigating a major life transition like divorce or retirement — professional guidance can help you make informed decisions and avoid costly mistakes.
When you feel overwhelmed or uncertain about where to start, a financial advisor can provide clarity, structure, and a personalized plan tailored to your specific goals and circumstances.
If First Savings Bank offers wealth management or financial advisory services — either in-house or through a partner — it may be worth scheduling a consultation to explore your options. Many advisors offer an initial meeting at no cost, giving you the opportunity to assess whether their services are a good fit before making a commitment.
Final Thoughts
Whether First Savings Bank offers the full spectrum of investment accounts or focuses primarily on core savings and CD products, the most important takeaway is this: your banking relationship and your investment strategy should work together as part of a unified financial plan.
Use your First Savings Bank accounts to build the secure financial foundation every sound investment strategy requires — an emergency fund, a tax reserve, short-term savings goals. Then, whether through your bank or a dedicated investment platform, take the next step toward building long-term wealth through diversified, goal-driven investing.
No matter where you are on your financial journey — just starting out, steadily building, or refining an established portfolio — the best time to begin is always now. Take the time to understand your options, ask the right questions, and make intentional decisions that align with your goals.
Your financial future is built one informed decision at a time.
This article is intended for educational and informational purposes only and does not constitute financial, investment, or legal advice. Investment products are not FDIC-insured, are not bank guaranteed, and may lose value. Always consult with a qualified financial professional before making investment decisions. Product availability at First Savings Bank may vary; please contact the bank directly for the most current information on available products and services.
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