Today, we are going to talk about a tool that makes investing painless, profitable, and fun. It’s called Betterment.com. I started investing with Betterment in January. I’m now 30 days in and ready to report some reasons why I think every single New Grad needs to have an account.
What is Betterment?
Betterment is an automated investing platform that allows you, the investor, to invest in a preselected assortment of stocks and bonds.
You simply tell Betterment what percentage of your money to put in stocks and what percentage to put in bonds. Betterment then automatically places your money into stocks and bonds as you directed.
For example, I have selected to invest 90% in stocks and 10% in bonds.
Once you’ve signed up for an account, you can use their website or their interactive app to manage your money and monitor your gains.
What Is The Advantage Of Using Betterment?
Betterment is a great tool for beginner investors for a number of reasons. First of all, new investors are often concerned about the prospect of losing their hard earned money in the stock market. Betterment helps protect against that by automatically investing your money into a diverse, risk-managed set of stocks and bonds. Your money will be spread out across literally hundreds of companies. So, a bad year for one company does not sink your entire investment.
Betterment also saves you time. If you’re not a finance expert, you probably do not have time to research individual stocks, pick your own mutual funds, and track bond interest rates day-to-day. Betterment does that for you. They have hand selected the best funds, all you have to do is invest.
How Much Does It Cost To Get Started
I started my Betterment account with $25. This is MUCH less than the cost of entering the typical mutual fund ($1,000-$3,000). Starting with such a small sum of money allowed me to test the waters. I took a couple weeks to get comfortable with the small daily fluctuations in the market.
Once I was sure I wasn’t going to lose everything all at once, I made a couple more deposits. I’ve even set up an automatic $25/wk deposit that goes straight into my investment account each Friday. This way, I can invest without even having to think about it.
What If I Need My Money Back?
Another benefit of Betterment.com is that you can access your money at any time at NO COST. No early withdrawal fees, no penalties, no surrendering gains. The money in your account is completely accessible at all times.
So if you get in a pinch, or you decide you want to invest a portion of your money differently, simply initiate a funds transfer back to your bank account, and you will have your money back in a day or two.
So What Are You Waiting For??
Click here to head over to Betterment and start your account today. If you’ve been wanting a low-risk way to experiment with investing, this is the place to do it. Open up a small account, and watch it for a few days like I did. Once you start seeing the interest build up, you’ll start thinking of how much you want to invest in order to reach the financial goals you have for yourself.
Betterment is the best place to start your investing. They have numerous tools and metrics to help you learn everything you need to know about your investments. And their customer service representatives are available to talk you through any other concerns you may have.
Have you invested with Betterment before? Be sure to tell us about it in the comments below. And don’t forget to tell a friend about this wonderful investing platform.
Stay tuned for more articles about easy investing for New Grads!
Latest posts by newgrad23 (see all)
- Own Your Mondays: Three Tips to Avoid the Monday Blues - June 4, 2017
- 5 Ways to Keep Your Resume Current - March 2, 2017
- 8 Questions to Ask Your Interviewer - February 27, 2017