Blooom, a robo-advisor offering automated investment management for 401(k)s, IRAs, and other retirement plans, stands out by providing a rare service among robo-advisors – managing workplace retirement plans. With the increasing popularity of robo-advisors, Blooom has gained recognition for its unique offering ("Blooom stands out by offering management of 401(k)s and other workplace retirement plans — a rare service among robo-advisors"). Launched in February 2022, the app has already achieved a significant milestone of 1 million downloads, primarily targeting teenage investors ("Bloom, a zero-commission stock investing tool for teenage investors, reached 1 million downloads after launching in February 2022").
One of Blooom's key advantages is its user-friendly interface, making it accessible and appealing to young investors. The app aims to simplify the investment process, allowing users to easily manage their retirement accounts ("Blooom is a robo-advisor offering automated investment management for 401(k)s, IRAs, and other retirement plans"). Additionally, Blooom offers a new user bonus of $100 for a limited time, making it an attractive option for those looking to start investing ("New user bonus increased to $100 for a limited-time. Fidelity Bloom is a new(er) app from Fidelity Investments targeted at helping young...").
Despite its advantages, Blooom has some drawbacks. It is relatively more expensive compared to other investing apps, with a monthly fee of $4.50 and a management fee of 0.80%. This higher cost might deter some potential users who are seeking more affordable options, such as Spaceship and other similar platforms ("Cons · More expensive than other apps: At $4.50 per month and a 0.80% management fee, this is more expensive than other apps such as Spaceship...").
To encourage users to try the app, Blooom offers a special promotion. Opening a Fidelity Bloom Spend or Fidelity Bloom Save account within the app and depositing $50 within seven days can earn users a $100 bonus. This incentive further incentivizes young investors to join the platform and start their investment journey ("Open a Fidelity Bloom Spend or Fidelity Bloom Save account within the Fidelity Bloom app and deposit $50 within seven days to receive a $100...").
Apart from investment management, Blooom also addresses environmental concerns. The app introduces Lomi Bloom, a tool that helps users reduce food waste by dehydrating and chopping up food scraps, even converting them into fertilizer. This added feature showcases Blooom's commitment to sustainability and its efforts to provide a holistic experience to its users ("Reduce your food waste with the all-new Lomi Bloom, which dehydrates and chops up your food scraps and can even turn it into fertilizer").
When considering robo-advisors, it is crucial to evaluate their fees and services. The best robo-advisors typically charge low portfolio management fees while offering a wide range of services, including tax optimization and access to investment advice. While Blooom may have higher fees compared to some competitors, it still offers valuable automated investment management services for retirement plans ("The best robo-advisors charge low portfolio management fees and offer a range of services, including tax optimization and access to...").
In conclusion, Blooom is a robo-advisor that caters to the needs of young investors, offering automated investment management for retirement plans. Despite its higher fees, the app provides a user-friendly interface, a generous new user bonus, and additional features like Lomi Bloom for waste reduction. While researching robo-advisors, it is essential to consider Blooom's unique offering and compare it with other platforms to find the best fit for individual investment goals and preferences.
