Wall Street is hoping to woo young investors but the digitally savvy group isn’t exactly rolling in cash, with many facing student loan debt.
Financial jargon can also turn off newbies, overwhelmed about where to start but apps like “Stash” aim to make investing easier.
“We’re definitely targeting younger generation it’s all on the mobile the goal is to make investing less scary and more approachable to millions of Americans,” said Stash co-founder Ed Robinson.
Targeting people like Steven Heyen.
“It’s a lot to wrap to wrap your head around at first,” said Heyen.
He realized for about the same price as a Starbucks latte he could be starting a nest egg.
“It’s really straightforward how to invest and get started and $5 minimum,” Heyen said.
The Acorns app allows users to invest spare change by rounding up purchases to the nearest dollar.
The Robin Hood is an app-based broker offering free trades and Uber-style ease.
Six out of 10 millennials already use an app to manage finances according to an Experian study.
It’s a trend that investment apps hope will continue to grow with the new class of wage earners giving graduates an easy option to invest those cash gifts.
“My biggest advice for grads is to make sure they pay themselves first before they waste all their money or spend all their money on drinking,” Robinson said.