PayPay Securities Corporation（Chiyoda-ku, Tokyo; President & Representative Director: Kenji Bansho; hereinafter PayPay Securities）is pleased to announce that it will start accepting applications for the iDeCo plan offered by Mizuho Bank, Ltd.（Chiyoda-ku, Tokyo; President & CEO: Masahiko Kato; hereinafter Mizuho Bank）
PayPay Securities will be accepting applications, with Mizuho Bank operating and managing（※1）the iDeCo plan. At the same time, PayPay Corporation（Minato-ku, Tokyo; President & Representative Director, CEO, Corporate Officer: Ichiro Nakayama; hereinafter PayPay）has also made PayPay Securities’ iDeCo available（※2）in PayPay Invest as of April 15th, 2024.
PayPay Invest is a mini app（※3）within cashless payment service PayPay.
※1 An institution that provides various information to iDeCo users and manages the accounts thereof.
※2 It will be supported in PayPay Securities’ native app（iOS version）soon.
※3 This feature allows users to seamlessly book, order, and pay for products and services provided by PayPay’s partner companies from the PayPay app.
What is an individual-type defined contribution pension plan（iDeCo）？
iDeCo is a private pension plan available for individuals who wish to enroll voluntarily. Contributions start at a minimum of 5,000 yen per month. The portfolio is managed by the user, who can withdraw the total account balance including any gains after turning 60, in principle. Since the contributions towards iDeCo are deductible from income（income that is subject to tax）, it can be used to reduce the amount of resident and income taxes due. Any income from interests and investment gains are also exempt from taxes.
※4 Some individuals are not eligible to join. For details, please refer to iDeCo eligibility.
※5 The maximum amount of premiums that can be contributed differs depending on the membership category. For details, please refer to About Contributions.
Features of PayPay Securities’ iDeCo
Zero fees towards the operation & management of the plan
・Regardless of the account balance, amount of contribution, and contribution period, anyone can enjoy PayPay Securities’ iDeCo without any operation & management fees（※6）.
※6 Fees levied by the National Pension Fund Association and financial institution to which the administration is outsourced will not be exempted.
Lineup of carefully selected products
・26 types（※7）of products are offered, including balanced-type funds, funds comprised of stocks（global／domestic）, bonds（global／domestic）, or REITs（global／domestic）, or principal-secured products（fixed-term deposits）. To avoid the trouble of having too many securities to choose from, PayPay Securities’ iDeCo plan consists of a selection of carefully picked low-cost funds.
※7 See here for the list of securities available.The number of products counts the seven “DC Nissay Target Date Fund” funds as one product in accordance with laws and regulations.
Complete the application online
・There is no need to send any documents by mail. The application can be easily completed online from PayPay Invest, a mini app within the PayPay app（※8）.
※8 Some users are not eligible for the online application process such as voluntary insurance subscribers, who will be required to request the application documents from the call center.
Robo-advisors to support asset management
・An asset management robo-advisor, “SMART FOLIO ＜DC＞（※9）can propose a portfolio tailored to the customer’s risk tolerance. Based on a tolerance test, it will provide asset management support such as checking the assets under management and reviewing products.
※9 This is a service offered by Mizuho Bank.
See here for more details about PayPay Securities’ iDeCo and how to apply.
Users can trade securities using PayPay Invest, in the PayPay app
PayPay Invest is a mini app provided by PayPay Securities within the PayPay app, enabling easy access to asset management. Users can open a brokerage account and trade securities using their PayPay BalanceSecurities such as U.S. stocks, Japanese stocks, ETFs, and mutual funds can be traded in increments as small as 1 yen or 1 point, starting from just 100 yen or 100 points. The proceeds from selling securities will be topped up to the user’s Balance (PayPay Money), which can be used for shopping(*10). However, if the amount exceeds the maximum top-up amount to PayPay or if it will make the balance of PayPay Money exceed 1 million yen, it will be cashed out to the customer’s registered bank account. For more details on the PayPay Money limit, click (PayPay Money / PayPay Points). Credit, which is another payment method in PayPay, is also supported for regular investments in mutual funds.
Securities such as U.S. stocks, Japanese stocks, ETFs, and mutual funds can be traded in increments as small as 1 yen or 1 point, starting from just 100 yen or 100 points. The proceeds from selling securities will be topped up to the user’s Balance (PayPay Money), which can be used for shopping(*10). However, if the amount exceeds the maximum top-up amount to PayPay or if it will make the balance of PayPay Money exceed 1 million yen, it will be cashed out to the customer’s registered bank account. For more details on the PayPay Money limit, click here.
When opening a securities account, users can skip the identity verification procedure normally required in PayPay Invest（*11）if they have already verified their identity（eKYC）within PayPay（*12）. If users already have an account with PayPay Securities, they can immediately start investing simply by logging in to PayPay Invest. To use PayPay Invest, users must agree to provide PayPay Securities with their information registered in PayPay, their identity information, payment methods, cash out methods, and other information.
※10 This is a feature provided by PayPay, in which a PayPay Balance top-up is made immediately after an ETF is sold, or in the case of a mutual fund, one business day before the delivery date.
※11 This feature may not be available for some users. Users newly transacting with a securities company are required to provide the securities company with their My Number upon opening an account.
*12. For eKYC procedures required by “PayPay,” please click here.
Read about the details of “PayPay Invest” on the following website.
https://www.paypay-sec.co.jp/tool/miniapp/
Risks and transaction fees
Securities transactions may result in loss of principal due to fluctuations in stock prices, fluctuations in foreign exchange rates, deterioration in the credit conditions of the issuer, or changes in the political, economic, or social environment of the country from where the securities are issued. Please make sure to read the “Risks and Fees” section of the “Pre-Contract Documents” and fully understand the content thereof before trading at your own discretion and responsibility.
■ About PayPay Securities
PayPay Securities started its services as Japan’s first smartphone-based securities company in June 2016, with the vision of making asset management more accessible. In February 2021, the company changed its name to PayPay Securities to align with the PayPay brand, aiming to evolve into a highly convenient service closely integrated with daily life through its partnership with PayPay.
In addition to offering various services such as the PayPay Securities app, which allows the purchase of shares of well-known Japanese and American companies, investment trusts, and ETFs starting from just 1,000 yen, the company took further steps to lower the barriers to investing. In April 2020, the “Earn Points” service, which enables users to experience simulated investments using PayPay Points (this service was transferred to PPSC Investment Service Corporation, a wholly owned subsidiary of PayPay Securities, in July 2022) was rolled out, and investment trusts became available from September 2021.
PayPay Securities is committed to make investing and asset building feel closer and more accessible to users by providing financial services that are the easiest, most user-friendly, and unprecedented.
■ About Mizuho Bank
Mizuho Bank is the core business of the Mizuho Financial Group, the “integrated financial group representing Japan, open to anyone across the globe,” with approximately 150 years of experience in banking and 26,000 employees（as of the end of March, 2022）working in 35 countries and regions around the world including Japan. With total assets of approximately 200 trillion yen（as of the end of March 2023）, Mizuho Bank is an industry leader boasting one of the largest customer bases in Japan, a network of domestic and off-shore offices, and advanced service delivery capabilities.
■ About “PayPay,” the Cashless Payment Service Offered by PayPay Corporation
“PayPay” is a cashless payment service expanding across the country, available not only at major chain stores but also at small and medium size retailers, vending machines, taxis, and even public transportation. It can also be used in a variety of other situations, including paying for online services and utility bills. PayPay is also expanding its range of services beyond just payments, including the “Send/Receive” feature（remittance/transfer and receiving of money）that allows users to transfer their PayPay Balance（PayPay Money and PayPay Money Lite）between each other for free, or “Earn Points,” a service that allows users access to a simulated investment experience involving the exchange of PayPay Points with points provided by a service provider that PayPay is partnered with. The company also strives to create a safe and convenient environment for users through a hotline available 24/7 and a full compensation scheme ensuring compensation for any damages that may be suffered.
PayPay Corporation is registered as follows：
・Prepaid Payment Instruments（third party type）Issuer（Registration number: Director-General of the Kanto Finance Bureau, No. 00710／Registration date: October 5, 2018）
・Business Operator that Concludes Contracts on the Handling of Credit Cards（Registration number: Kanto（Ku）No. 106／Registration date: July 1, 2019）
・Telecommunications Carrier（Filing number: A-02-17943／Date filed: July 2, 2019）
・Fund Transfer Operator（Registration number: Director-General of the Kanto Finance Bureau, No. 00068／Registration date: September 25, 2019）
・Notified Entity Entrusted with Intermediation（Filing number: C1907980／Date filed: December 18, 2019）
・Bank Agency Services（License: Director-General of the Kanto Finance Bureau（Gindai）No. 396／Registration date: November 26, 2020）
・Financial Instruments Intermediary Services（Registration number: Kanto Finance Bureau Director（Kinchu）No. 942／Registration date: June 25, 2021）
・Electronic Payment Agency Services（License: Director-General of the Kanto Finance Bureau（Dendai）No. 109／Registration date: February 14, 2023）
・Japan Payment Service Association（https://www.s-kessai.jp/, Date of admission: September 12, 2018）
・Japan Consumer Credit Association（https://www.j-credit.or.jp/, Date of admission: July 1, 2019)
※ “PayPay” offers four types of electronic money and other services: PayPay Money, PayPay Money Lite, PayPay Points, and PayPay Gift Vouchers.
PayPay Money can be used to pay for partner services and merchants if it is within the amount deposited into the PayPay account opened after completing an identity verification process. It can also be used for sending and receiving money between PayPay users free of charge. PayPay Money can also be cashed out to a designated bank account（no withdrawal fee if using PayPay Bank）. The legal nature of this is an electromagnetic record which can be used to pay for goods and services, can be remitted or cashed out, and is issued by PayPay who is a Fund Transfer Operator registered under Article 37 of the Payment Services Act. Based on the provisions of Article 43 of the Payment Services Act, PayPay protects the debt it owes to its users by depositing assets equivalent to or higher than the debt amount. PayPay Money Lite is an electronic money issued by PayPay, which can be purchased and used to pay for services and merchants. PayPay users can transfer and receive PayPay Money Lite free of charge. The legal nature of this is a prepaid payment instrument issued by PayPay（Article 3, Paragraph 1 of the Payment Services Act）. Based on the provisions of Article 14 of the Payment Services Act, PayPay preserves the relevant assets for the purpose of protecting the owners of the prepaid payment instrument by providing a security deposit for issuance to the Legal Affairs Bureau in an amount that is half or more of the unused balance of prepaid instrument methods as of March 31 and September 30. In addition, PayPay Points, which are granted through campaigns and promotions when using PayPay, can be used for partner services and in transactions at merchants in addition to PayPay Money and PayPay Money Lite. However, it cannot be transferred to other users or cashed out. PayPay Gift Voucher is a type of electronic money issued by PayPay, which can be used to make payments for affiliated services and merchants designated by the PayPay Gift Voucher. However, it cannot be transferred to other users or cashed out. PayPay Gift Vouchers have an expiration date, after which they will no longer be valid. The deadline for Gift Vouchers can be confirmed in the details or specifications of the measure or promotion campaigns for which they are issued.
PayPay also strives to create a safe and secure environment for users. If an unexpected payment is made by a third party using a PayPay account, or if a request to settle a payment suddenly arrives from PayPay to a user that does not have a PayPay account, there is a scheme that ensures compensation for the damages suffered（the difference will be provided as compensation if compensation is also provided by a third party）, given that the prescribed conditions are met. Please see “Applying for compensation” for details.
※ Company names, trade names, and products/services in this press release are registered trademarks or trademarks of their respective companies.
