Acorns takes all the guess work out of investing and lets you invest money
Invest money with any budget.
Acorns takes all the guess work out of investing and lets you invest money with any budget.
The app rounds up all of your daily purchases to the nearest dollar and puts it into a professional investment portfolio. It's not going to make you "get rich quick" but your daily purchases will add up over time.
Once you set up an account everything else is automatic. Acorns became super popular because it lets you invest money for your future without really noticing.
Who Is Acorns For?It is for people who want to invest in the stock market but don't know how and don't have much money.
Acorns takes all the guesswork out of investing and lets you invest up to $1.00 at a time which anyone should be able to afford for their future. It takes 5 minutes to make an account and then everything is automatic so you don't need to spend time managing a portfolio.
Common reasons people use Acorns are:
- They have trouble saving money or budgeting
- They want to invest but don't know how
- They want to invest but don't have time
- They want to invest or save money but don't have money to do so
1. People Who Struggle Saving MoneyA system that saves your money automatically, a little bit at a time, is the easiest option to start growing your wealth.
2. Newbie InvestorsAcorns requires 0 knowledge of finance and investing to start, so it’s ideal for newbie investors who want to invest their money, but don’t know how to do it, or where.
It doesn’t require a large time investment either. Once you sign up and choose your settings, you live your life like normal and Acorns runs automatically. To sign up you just fill out a form which takes under 5 minutes.
How Does Acorns Work?On Acorns you link your debit/credit card to the app and they automatically "Round Up" every purchase to the nearest dollar. For example, if you buy a t-shirt for $14.50, Acorns will round it up to $15.00 and transfer $0.50 to your balance.
You can customize everything, like how much you "Round Up" and you can choose if you want to invest the money or place it in a savings account. The power of Acorns will start to add up over time.
Investing InfoAcorns has an experienced team of finance experts that teach people the right way to invest. The investment strategies were designed by a Nobel Prize-winning economist – Dr. Harry Markowitz.
ETFsThe money that gets invested goes to exchange traded funds — ETFs for short. ETFs consist of different Stocks, Bonds and Real Estate which make them a diversified investment and have very low fees compared to individual stocks.
Investment StrategiesOn Acorns you have five investment strategies you can choose from:
- Conservative: 18% stock, 80% bond, 2% real estate
- Moderately conservative: 36% stock, 60% bond, 4% real estate
- Moderate: 54% stock, 40% bond, 6% real estate
- Moderately aggressive: 72% stock, 20% bond, 8% real estate
- Aggressive: 90% stock, 0% bond, 10% real estate
The exact content of your investment can be seen through the prospectuses of your ETFs in the app.
Pros of Using Acorns
- Builds your wealth with almost no time commitment
- It's automatic so you won't be tempted to spend that money elsewhere
- No minimum investment required
- Cashback on purchases from many popular stores
- Educational content available in the app
- Easy for beginner investors
Cons of Using Acorns
- Not available in every country
- Acorns charges some fees unless you're a student
- This won't get you rich quick
Does the app charge fees?
Note: because Acorns’ main target group is millennials, the app is free to use for every college student.