With the development of mobile internet, pocket investment apps have emerged as a popular tool for investors to make micro investments easily. Key players like Raiz, Spaceship Voyager and CommSec Pocket make ETF investing affordable and automated for beginners in Australia. By rounding up spare changes or setting up auto deposits, users can build a diversified portfolio with these apps that charges very low fees. Though profits may seem tiny, cost averaging into the market can generate considerable returns in the long run.
Raiz leads the pocket investing market in Australia with 7 portfolios
Launched in 2016, Raiz is the first micro-investing app introduced from the US. It allows users to select from 7 different ETF portfolios based on risk levels and investment styles. Raiz charges $3.5 monthly fee on balances under $15k and 0.275% annually above, which is competitive among its peers. By integrating everyday banking activities with investing, Raiz incentivizes users to develop healthy saving and investing habits from their early stage.
Spaceship Voyager focuses on tech stocks with minimum fees
Founded in 2017, Spaceship Voyager specifically targets tech companies in its investment philosophy. It offers 3 thematic portfolios for investors bullish on sectors like healthcare and sustainability. Under $5k, the app charges no fees. Afterwards there is only a 0.05-0.1% annual management fee, which is among the lowest in Australia. Such pricing models plus the clean inteface cater best to young people new to investing.
CommSec Pocket leverages the trust of an established broker
Owned by the Commonwealth Bank, CommSec Pocket is viewed favorably for its security and stability. Investors can seamlessly transfer between bank account and investment account, with a competitive brokerage fee of $2 per trade. Now providing 2 ETFs focusing on high dividend and emerging markets, CommSec Pocket is working towards becomeing an one-stop money managing solution for Australians.
In summary, pocket investment apps are reshaping personal investing by making the process easy, affordable and automatic. For new investors with limited budgets, the micro investment model helps cultivate sound financial habits and stay invested for long-term compounding gains.