Last May, British Airways Executive Club launched a new financial partnership with Citibank and its Citigold Wealth Management division.
We covered it at the time but, doing a quick search, it seems that we haven’t mentioned it all in the last 11 months. I thought it was worth running over it again today.
Citi has worked with Avios in Hong Kong for some time so this was not a surprising move, even though BA has its credit card partnerships with American Express in the UK.
As you will see, this clearly a very niche offering and not something that you should rush into. There is also a cash equivalent which some people may find more attractive.
Full details are on the Citigold Wealth Management website here.
The headline offer is up to 100,000 Avios for opening a wealth management account. Looking at the small print, it seems that you can actually earn 150,000 Avios.
There is a brand new, totally separate Avios offer for expats who have just moved to the UK. I will look at this separately later in the week.
How the Citi / Avios partnership works
This offer runs until 31st December 2019. It may get rolled over, because it was originally meant to end on 31st December 2018.
To qualify, you need to open a Citigold Relationship account with new money, ie not transferred from another Citi account. You will receive:
50,000 Avios for funding the account with £150,000
100,000 Avios for funding the account with £650,000
You need to keep the account at that balance for at least two full calendar months, so if you open an account today it must remain funded at that level until the end of July.
You must also complete an ‘Investment Risk Profiling’ form within three months of opening the account.
There seems to be a 2nd bonus ….
Whilst not mentioned on the website home page, when you read the terms and conditions there appears to be an additional bonus of 50,000 Avios available.
This is triggered by making “an advised investment” through your Relationship Manager withing three months of opening your account.
But note the cash alternative ….
Citi is happy to offer you cash instead of Avios.
You can swap the 50,000 Avios for £500 and the 100,000 Avios for £1000.
This makes the decision slightly trickier. Whilst I tend to get well over 1p per Avios (I have historically got around 1.15p and that is based on very conservative valuations for what I would have paid in cash if I hadn’t use Avios) I will not pay 1p for them.
Avios are illiquid. Avios can be devalued at any point by the Central Bank of IAG. I am happy to speculatively pick them up for 0.75p but no more. Of course, if you redeem more carefully than I do then your maths will be different – for example anyone who ONLY redeems Avios with a 2-4-1 voucher will get better value.
I purposely haven’t gone into the full details of the Citi Wealth Management service. If you are happy to move such sums of money then you will be the sort of person who does their own due diligence.
You can find out more about the Avios / Citi Wealth Management offer here.
Want to earn more points from credit cards? – January 2021 update
If you are looking to apply for a new credit or charge card, here are our January 2021 recommendations based on the current sign-up bonus.
British Airways American Express
5,000 Avios for signing up, no annual fee and a companion voucher for spending £20,000 Read our full review
British Airways American Express Premium Plus
25,000 Avios and the UK’s most valuable credit card perk – the 2-4-1 companion voucher Read our full review
American Express Preferred Rewards Gold
Your best beginner’s card – 20,000 points, FREE for a year & two airport lounge passes Read our full review
The Platinum Card from American Express
30,000 points and an unbeatable set of travel benefits – for a fee Read our full review
Virgin Atlantic Reward+ Mastercard
15,000 points bonus and the most generous non-Amex for day to day spending Read our full review
Earning miles and points from small business cards
If you are a sole trader or run a small company, you may also want to check out these:
American Express Business Gold
20,000 points sign-up bonus and free for a year Read our full review
American Express Business Platinum
40,000 points sign-up bonus and a long list of travel benefits Read our full review
British Airways Accelerating Business American Express
Earn both Avios and BA On Business points with your business spending Read our full review
Capital On Tap Business Rewards Visa
The most generous Avios Visa or Mastercard for a limited company Read our full review
Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibility to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points and do not consider interest rates, service levels or any impact on your credit history. By recommending credit cards on this site, I am – technically – acting as a credit broker. Robert Burgess, trading as Head for Points, is regulated and authorised by the Financial Conduct Authority to act as a credit broker.