Categories
Investing

Small Investments Can Pay Off Big – Zacks Investment Research

(1:00) – It’s Hard To Save Money: How To Put Money Aside For Investments(8:20) – What To Keep On Your Radar: What Is Available To You Through Investing Apps?(21:30) – Does Acorns Help You Save Even More?(29:0…….

  • (1:00) – It’s Hard To Save Money: How To Put Money Aside For Investments
  • (8:20) – What To Keep On Your Radar: What Is Available To You Through Investing Apps?
  • (21:30) – Does Acorns Help You Save Even More?
  • (29:00) – Episode Roundup: VOO, IJR, IJH, IXUS, QQQ, QQQM
  •                 [email protected]

 

Welcome to Episode #325 of the Zacks Market Edge Podcast.

Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life.

This week, Tracey is going solo to talk about how small amounts of cash can really add up in stock investing.  And now, more than ever, there are investing apps which allow you to start investing with little money down.

Acorns is one of those. It’s the investing app which helps you save and invest your spare change. They have a feature called “round-ups” which automatically invests spare change into a diversified ETF portfolio. If you buy a coffee that is $3.35, you can direct the app to round it up to $4.00 and invest the spare change that is the difference.

But if that’s not enough for you, and you feel like you can do more, there is a recurring investment feature starting at just $5 a day, or you can also do weekly or monthly.

$5 a day may not seem like much, but the little amounts really can add up if you stick with it especially through stock market ups and downs.

Investing in a Basket of ETFs

Acorns uses ETFs to create portfolios based on what your investing goals and tolerance are. The stock ETFs are basic index ETFs with low fees. Below are some of the ETFs that investors can use to create their own basket.

1.       Vanguard S&P 500 Index ETF (VOO Free Report)

The Vanguard S&P 500 Index ETF is one of the most popular ETFs on the market. Tracey owns it in her own personal portfolio as it has a low expense ratio of just 0.03%.

Year-to-date the Vanguard S&P 500 Index ETF is down 12.4% but it has a 5-year annualized return of 12.79%.

It pays a dividend, yielding 1.6%.

You don’t have to have an Acorn account to invest in it. The Vanguard S&P 500 Index ETF is available through most of the big brokerages.

2.       iShares S&…….

Source: https://www.zacks.com/stock/news/1966854/small-investments-can-pay-off-big

Leave a Reply

Your email address will not be published.