Thursday, October 29, 2015

Let's Talk About Investing...

Hey guys!
I wanted to do this post today because I think investing is often overlooked for college students and young adults, but is super important for long term financial success. This post is a very "beginners" way to invest, but I'm assuming most of my readers (like me) don't have very much knowledge about this. 

I, personally use Acorns. It's an app for iphones and androids that allows you to invest small amounts easily. The minimum amount that you can invest is $5, and if you use this link to sign up, they'll give you a $5 reward! I did a lot of research on this before deciding to use it, so I'll give you some of my pros and cons here! 

Pros:

  • Super easy to use! You link it to a checking account, so it can automatically withdraw money on a weekly or monthly basis if you'd like. 
  • Round up is a feature that allows you to sync a credit or debit card to your Acorns account. It rounds up every purchase to the nearest dollar and invests it once it reaches a $5 threshold. For example if you bought a $1.47 coffee, Acorns would invest $.53. 
  • Really intuitive interface! There are 5 different portfolios that you can choose from, and if you're unsure of what you should choose it'll recommend one. It also gives you projected values that are really interesting to see. 
  • No minimums, and you can withdraw your money at any time
Cons:
  • There is a $1 monthly fee for accounts under $5,000 or a 0.25% annual fee for accounts over $5,000. If you're only investing small sums, this monthly fee might not seem worth it, but if you're under 24 or a student with a .edu email, there are no fees
Overall, I think that this is a really great way to start investing especially because you can invest whatever money you have available. Just some reminders, check with someone you trust like a parent or banker or someone if you have questions about investing, and remember that the money you invest is not insured and it's possible to lose money. Another app that is similar is Stash, but they don't have as many banks linked, so I couldn't personally use that. 

Let me know in the comments if you use any investing apps, and if you're interested in trying Acorn, make sure to use this link to get $5 to start with! 
-Sisi

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