Thanks to technology, you no longer need thousands of dollars to become an investor. The spare change from a takeaway coffee can get you started. We look at six micro investing tools that can help build your wealth with minimum effort.
Micro investing is turning mobile phones into investment tools, enabling you to get a stake in shares, property and fixed income with your small change. It allows would be investors with little starting capital to bypass the roadblocks that usually keep them out of the game, such as minimum investment levels, trading costs and market research.
It appeals especially to millennials – roughly those aged between 20 and 35 – who are comfortable using technology to manage their finances. Many older members of this cohort have been locked out of home ownership – a traditional path to building wealth – due to very high prices, especially in Sydney and Melbourne.
Most micro investing is facilitated by apps and it’s growing fast both offshore and locally.
Acorns, which enables people to invest in a range of exchange traded funds (ETFs) with their spare change, chose Australia as the first country outside the US to launch in February 2016. Since then it has signed up about 1.5% of the Australian population, with 340,000 users, 120,000 active monthly users and $100 million in funds under management. (See page 36.)
Denne historien er fra November 2017-utgaven av Money Magazine Australia.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra November 2017-utgaven av Money Magazine Australia.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
An outrageous, beautiful monopoly
Telstra's mobile business is a cash machine with few competitors, giving it the highest returns in the world.
Drop the anchor to judge value
Buying and selling decisions should be based on where a stock price is going, not where it has been.
Powering the AI boom
Beyond the software and chipmakers, where will the energy come from?
Get into life
Tucked inside super are products that can protect you from life's inevitable uncertainties.
Paths to home ownership
Taking the road less travelled can sometimes deliver unexpected benefits.
Sold! Quick ways to add value
Small, strategic changes can have a big impact on the look and feel of your home. And get you a better price on auction day.
Money lessons the kids need to know
Your children can learn a lot from your past money mishaps. Here are eight financial conversations I have had with mine.
Property-investing rules: are they likely to change?
The pressure for the government to curb the tax benefits of tax concessions, such as negative gearing and the capital gains tax discount, is unrelenting. Most recently, independent senators David Pocock and Jacqui Lambie proposed five options for paring back investment property tax concessions, with savings to the Federal budget of up to $60 billion over the next decade.
What's love got to do with it?
A rollercoaster of emotions could be driving poor crypto behaviour.
Are we ready to be cash-free?
Saying goodbye to our piggy banks too soon could leave small businesses in the dark when problems arise.
