In the age of internet and smart technology, there is a huge amount of applications accessible on your smartphones that can be used for the variety of purposes ranging from keeping track of daily tasks to making fertile investments to make more money.
Yes, plenty of investment apps is available that make investment easier not only for beginners but for professionals as well.
Some applications can be exceptionally useful, while different applications are not all that good.
Much the same as anything identified with your cash accounts or finance, you should be watchful on the off chance that you choose to attempt an investing application in order to make wise investment decisions.
Here are a few Pros and Cons to consider when you are about to get benefits from investment apps available in these days.
Pros of Using Investment Apps
- Quick Information
Staying up to date with market and monetary news is extremely simple if you are using an investment app. You have instant access to the bunch of up-to-the-minute financial news and data that helps a lot in decision making.
- You Can Start From Small
Use of investment apps is recommended by experts especially if you are a beginner because several investing apps require $5.00 to get started which is one of the best benefits of using an investment app.
With such a low limitation anyone can start investing in order to make more money.
- Discover About Investing
Majority of investment applications are utilized by first-time investors to learn about investment basics.
Through this way, a user of the investment app can make clever investment decisions to prevent intolerably loses and pitfalls.
- Easy to Invest
When you are using an investment application to invest your hard-earned cash, you won’t feel overpowered with decisions and choices before making the investment because the robot-advisors keep you informed about the latest market and financial news every minute.
In addition, investment applications are deliberated to very simple and easy to use.
- These Apps are Inexpensive
There is very low commission percentage for investment application accounts that help an investor to reduce the overall cost of investment.
But, a user must keep an eye on the threshold in order to prevent increased expenses and commission amount for the app.
Cons of Using Investment Apps You Must Know
- No Big Picture Perspective
Investment applications really don’t think (even they cannot) about your debts, tax information and investments made in other businesses and it can be the biggest drawback of using such apps.
They totally rely on data obtained from the market and cannot provide you long-term perspective when investing.
- Faulty Risk Tolerance
Investment applications make an effort to decide a financial specialists’ peril resilience with automatic survey and a calculation. In such situation, the application may be inclined the investor to make bad and unfavorable investment decisions.
- High Fees for Larger Accounts
If you start to invest more into investment apps, be ready to pay them more due to high fees for larger accounts.
As most of the investors know that the top investment apps Stash and Clink charge a user fee of 1 dollar per month for the sum of under $5,000 and it would be total $12 per year. On another hand, for a balance of $50,000 the user will need to pay the fee of 0.25% per year that adds up to $125 more in total fees.