Investors need to know that they can make a difference, not just for themselves, but for the world, through impact investing. A number of apps and investing platforms are standing by to help lead the way.
Getty Images
Mobile investing apps are becoming “must haves” these days, and their popularity is expected to increase in the coming years. And that’s not the only investing trend that’s on the rise. Another is impact investing. Put these two trends together, and you’ll find a bevy of investing apps available for purpose-minded people.
Traditionally, people invested for personal wealth without considering the impact of their choices on the environment and on others. Impact investing is defined as investments made in companies that aim to create a social impact while generating financial income. Impact investing improves lives and communities, and it ushers positive change into the world.
Apps can help make impact investing easy and accessible so that consumers can invest while supporting sustainability.
Millennials often feel that they don’t have enough money to invest in the stock market. As a result, financial experts have worked to demystify investing and develop simpler and more affordable ways to build portfolios. Apps that help millennials invest with modest amounts include COIN, Ellevest, Acorns and Motif. They feature optimal user interfaces, with some offering a low or zero minimum starting balance. Investment apps like these act as guidelines to help you handle your gross income. They not only offer investment choices, they also provide market updates and live feeds to help users make informed investment decisions.
Without further adieu, here’s a more in-depth look at my four favorite impact investing platforms:
Motif has a socially responsible mission: The app aims to simplify investment products and ensure that they are accessible across the world so that anyone can make a value-based investment. Motif requires a disciplined and strategic perspective — it offers low-cost investor resources coupled with transparency. Motif’s platform is customizable and features convenient technology and data use. One can disperse the money to different impact portfolios, such as:
The app allows users to own stocks in five different asset categories. You can program them to check insights and new developments in tax-aware auto-investing. The app allows flexible monthly payments with no due date. It also has ETF and mutual funds for all its portfolios. The minimum initial investment is $250. The app protects securities in your account on amounts up to $500,000. Motif requires you to invest using dollar amounts instead of shares.
Where do you see yourself in the next five, 10 or 15 years? Will you be living in a waste-choked world with few natural resources, or a clean Earth? COIN is a values-based investing platform backed by John Hancock. Statistics from the U.S. Environmental Protection Agency reveal that annually, 38.5 million tons of plastics are produced in the U.S. as of 2018 and that the recycling rate dropped from 9.1% in 2015 to 4.4% in 2018. For every 1,000 tons of materials recycled, one job is created. That’s a goal COIN can get behind.
COIN has eight portfolios: