Time for another look at how Acorns is doing.
The Acorns Experiment
I am running a 12 month experiment with Acorns where I will be investing $100 a month as a regular investment and also allowing it to do ’round-ups’ to invest the spare change from my spendings. Acorns has a standard monthly fee of $1.25 for account values under $5000 and my personal view is that it is an exorbitant fee that makes any investments under that threshold be better off done in a high-interest bank account.
However, instead of just pulling numbers out of thin air, let’s actually play with a live stock market and real cash.
These reports are starting to feel photocopied. Oh well. Let’s move along.
One thing I have noticed that is useful about Acorns is that it gives you a slight snapshot on how much you spent via the account you have hooked up to Acorns. Because I do the round-ups function, anything beyond $100 in that month’s deposit is purely through round-ups. August showed a significant less deposit via roundups as compared to previous months. But we all know that didn’t mean I wasn’t spending. I was just spending via a different account.
But hey! The stock market started climbing properly in August and the change in investment value was looking nice and healthy (quite unlike the stocks I have in my portfolio on the ASX game. Whoops.)
Speaking of the ASX game – how many of you are currently playing it? I have learnt a valuable lesson from it – Day trading is not for me. I know I can put in stop loss orders and target price orders but…. argh. Let me go back to my ETF game, I think I am much more suited for that! If I want volatility, I will watch cryptocurrency on blockfolio – that’s actually quite exciting and good for a laugh!