Acorns is a saving and investing app that makes investing easy. Unlike other investing apps where you pick and choose stocks you want to invest in, Acorns takes a different approach. With Acorns, you can start investing with just spare change. The app automatically rounds up your purchases to the nearest dollar and invests the difference into a diversified portfolio of ETFs (exchange-traded funds).
One of the key features that sets Acorns apart is its simplicity. The user interface is user-friendly, making it easy for even the most novice investors to navigate. Acorns offers a variety of investment portfolios, each tailored to different risk tolerances and time horizons. This allows investors to choose a portfolio that aligns with their individual investment goals.
Acorns Invest, the micro-investing platform offered by Acorns, provides a customized portfolio of ETFs based on your risk tolerance and time horizon. This helps new investors build a diversified portfolio without the need for extensive knowledge or experience in the stock market. Acorns Invest also offers tools and educational resources to help users understand investing better.
While Acorns focuses on passive investing, Robinhood takes a different approach. Robinhood is a discount broker that simplifies stock trading. It allows users to buy and sell individual stocks, options, and cryptocurrencies. Both platforms aim to make investing easier, but Acorns is designed for long-term investing and portfolio building, while Robinhood caters to active traders.
Acorns also offers a unique card that provides a path to waiving the subscription fee for existing customers. This card, when used for everyday purchases, automatically invests a percentage of the transaction into your Acorns investment account. This can be a great way to boost your investments while earning rewards.
Recently, Acorns acquired EirTrade, a new platform company focused on end-of-life solutions for aviation assets. This acquisition expands Acorns' portfolio and strengthens its position in the market.
Overall, Acorns is a popular choice for new investors looking for a simple and low-cost way to start investing. The app's user-friendly interface, customized portfolios, and automatic investing features make it an attractive option. While Acorns has been relatively quiet since its acquisition of the UK neobank for kids, GoHenry, it continues to provide a passive investing solution for individuals looking to grow their wealth.
