SAN ANTONIO — There are multiple investment apps available including Acorns, Robinhood, STASH and Betterment. The apps are cheap to set up and many allow users to invest in the stock market with just a few bucks. Karl Eggerss, senior wealth advisor and partner of Covenant, shared how technology has helped simplify the investment process.
“I was actually given a stock certificate back when we had certificates. So, when I was 14-years-old, I sold that stock I was given and actually, invested in a baseball card company,” said Eggerss. “With technology and primarily apps, we’re seeing the barriers of entry of even getting into investing and starting that becoming much, much easier for folks. Especially, teenagers and people in their low 20’s. It used to be very difficult, very expensive.”
According to National Institute on Retirement Security, nearly half of all millennial's are worried about their retirement and two-thirds are concerned about running out of money during retirement. Eggerss emphasized that one of the biggest benefits of investing in the stock market is that your money will grow over time.
“The power of compounding, the biggest thing youngsters have going for them in terms of investing. The younger you are, the more years for that money to grow and to recover from short-term losses as we saw in 2020,” said Eggerss. “There’s plenty of these that will round up and take some of your “loose change” if you will, and invest it straight into the stock market. Some of them allow you to buy fractional shares of stock.”
Eggerss recommends that you check out the reviews of each app and if you are younger in age, pick one that can teach you about the markets.
“People getting started in investing, start off broad and then get more narrow. Meaning, start with funds where you’re owning a basket of stocks versus picking just one or two stocks. You could learn a lot by investing in one or two stocks, but it’s certainly safer investing in mutual funds or exchange-traded funds,” said Eggerss.
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