From Tokyo to Wall Street: How Securities and Banks Trade in Miles
Japan’s securities companies like Rakuten and SBI pioneered the idea of linking investments with loyalty points, letting everyday savings flow seamlessly into ANA or JAL miles. Now, with newcomers like Silo Markets offering a rewards portal reminiscent of Bilt Rewards, the U.S. seems to be adapting the model—though mostly through banks, not brokerages. This commentary explores how Japan’s lead in securities‑linked rewards is nudging America toward similar paths, and why rewarding savings as much as spending could be the next frontier, especially in today’s uncertain travel climate.
Silo Markets is a relatively new player in the securities space, but what makes it stand out is its rewards portal—an ecosystem where investments can be converted into airline miles and hotel points. That’s a striking departure from traditional U.S. brokerage firms like Charles Schwab, which may offer credit cards or cash‑back perks but stop short of direct loyalty transfers. In fact, the closest American equivalent to Silo’s model isn’t a brokerage at all, but Bilt Rewards, a fintech program that turns rent and mortgage payments into transferable points with partners like American Airlines, Hyatt, and even Japan Airlines.
Japan’s securities companies, from Rakuten Securities to SBI Securities, have long integrated loyalty ecosystems, making it natural for everyday investors to see their savings grow not just in yen but in miles. JAL even operates its own asset management arm through SBI, deepening the link between finance and travel. By contrast, U.S. firms have let banks take the lead—Chase Ultimate Rewards, AmEx Membership Rewards, and Citi ThankYou Points dominate the transfer landscape, while brokerages remain on the sidelines.
The real benefit of focusing on rewarding savings and investments rather than just spending becomes clear in today’s global economic climate. With air travel less ideal at the moment—whether due to rising costs, limited routes, or broader uncertainty—earning points and miles through investments provides a cushion. It allows people to build up rewards during quieter times, making future travel sweeter when the skies open up again. In this sense, securities‑linked rewards are not just about loyalty; they’re about resilience, turning financial discipline into tomorrow’s adventures.
So while it looks like the U.S. is already copying Japan’s playbook, the adaptation is indirect—brokerages haven’t yet embraced the model, leaving banks and fintechs to carry the torch. It may take time before non‑Japanese securities companies follow suit, but the idea of rewarding savings and investments with points as generously as spending feels both inevitable and exciting. After all, why shouldn’t building wealth also earn you a seat in business class?