Fintechs – are start up companies that are disrupting the market within the financial world. This technology is appearing in the form of apps or software that offer financial services for investment, saving and budget management. “Robo advisors” are the latest players in the financial world as many of us are increasingly looking more to technology to help us structure our savings and investments or at least discipline our spending habits and force us to invest for our future. Robo advisors are online financial advisors that manage financial portfolios using a system of algorithms.
Below is a list of really exciting fintech services that exist to help you invest money for your future. I’ve listed apps that are currently active in Australia as well as those that operate overseas in order to grasp how big it is internationally and that eventually these services will make their way across the sea and hit our shores.
Investment and Savings Apps currently available in Australia:
- Acorns, an investment app which invests small change from your electronic transactions in Exchange Traded Funds. Acorns lets users see their bank account activity and round up transactions to the nearest dollar. The app then invests the “change” in an investment portfolio. For example if you buy a coffee for $3.50, Acorns will round your purchase up to the nearest dollar and invest that small change, in this case, 50 cents into an exchange traded fund.
- Firststeps App is Australia’s competition to Acorns, operating as a mobile App that invests your loose change from electronic transactions into Firststeps’ diverse portfolio of ETFs, however, Firststeps’ long term goal is to educate people in investment.
- Carrott is the latest savings app to come on to the market which looks to help users identify and save their ‘lazy cash’. The app connects the customer’s bank data to the platform, captured by a third-party provider. Users then input a budget amount for themselves, so the platform can notify them when they’re close to their spending limit, while Carrott’s algorithm crunches an account’s data to detect if any lazy cash exists. If it does, the ‘lazy cash’ is transferred into a savings account. https://carrott.com.au
Other Australian Apps to mention:
- Stockspot is an online investment adviser and fund manager. It is an automated investment advice platform in Australia and provides consumers with access to professional investment services
- Six Park allows you to create a globally diversified, professionally managed portfolio of investments to suit your risk profile.
- MoneyBrilliant is for the more keen financiers that understand but want better control over their accounts – https://www.moneybrilliant.com.au
- Pocketbook is a free budget planner that makes managing personal finance ridiculously simple. https://getpocketbook.com
International apps operating in the world and some are on it’s way to Australia:
- Kapitall (US) web app that investors can use to research and analyze stocks, mutual funds and exchange traded funds https://landing.kapitall.com/home/
- Robinhood (US) Zero commission share trading is coming to Australia soon https://www.robinhood.com
- Betterment (US) is the smarter automated investing service that aims to provide optimized investment returns for individual, IRA, 401k, and rollover accounts. https://www.betterment.com
- Wealthfront (US) https://www.wealthfront.com/who-we-are – Wealthfront is reimagining how people invest their money by building an automated investment service from the ground up to put the client first, Wealthfront is paving the way for a new generation of investors to achieve their financial goals.
- Nutmeg (UK) is an online investment management service. We build and manage intelligent portfolios, ISAs and Pensions, with no hidden charges at a low fee. https://www.nutmeg.com
- Digit (US) merely focuses on helping you stash away your money. Every few days, Digit checks your spending habits and removes a few dollars from your checking account if you can afford it. Easily withdraw your money any time, quickly and with no fees. https://digit.co
- Level Money the ‘mobile money meter. Using data from your connected bank account, it calculates your income and recurring bills, and then suggests what your daily, weekly, and monthly spending should be. https://www.levelmoney.com/
- Mint (US) is a web-based financial management application which tracks everything from the performance of your Roth IRA to the value of your 401k, all from its attractive, easy-to-understand interface. https://www.mint.com/how-mint-works/investments
- Wally (US) is an expense tracking app that shows a complete picture of your expenditures. You can view how much you’ve spent daily, weekly, or monthly, while dividing expenses into separate categories. The app allows you to simply scan your receipts and it will automatically input all the details of your purchase. http://wally.me/
Whether these apps are active in Australia, heading our way or are still overseas, each one is designed to help you get the most out of our money, be that investing, saving or managing funds.
The hardest part is choosing which app is the best one for you!