Investment often seems to many as a confusing & dreadful activity to get involved in. However, one can’t but appreciate the future payoff. Still, in the case of first-time investors. They tend to be worried owing to the lack of education & support. In regard to making smart investment decisions. Apart from that, younger investors often have to deal with expensive commission fees. Which makes investment activities all the more difficult for them, regardless of how much they want to. And here we need investment app development.
It was all of this difficulty and confusion that led to the emergence of web & app solutions. These solutions have a striking design, low costs, automation & tight security features. That make investments really easy as well as exciting for people. Same as automated bill payment & subscription renewal. It enable everyone to focus on the other important stuff in life. The automatic investment allows people to make the most with little work from their end. When that is coupled with free/low costs, then investing turns less threatening.
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How are Investment Mobile Apps changing the investing game altogether?
So, Apple’s saying, “there is an app for everything” seems to have finally come true even for the finance industry. Like, whether you are keen to send/receive money, carry on any transaction, or maybe invest in the stock market. There is an app for all of this to help you execute the tasks efficiently.
In fact, it’s not only the consumer that benefits from modern technology but even the bankers. Like, it is no longer stressful to build customer relationships. In fact, with the help of technology, you would be able to assist the customers in real-time. Thus ending up making them fond of your finance or banking institution.
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A major section of the investment and finance industry, i.e. stock & investment segment was untouched for many years. After all, investments in stock seem risky to a lot of people and it can be rather difficult to find an agent who can help people with the stocks. When the micro-investment app Acorns was introduced. It changed the game and helped people make the right investments & make profits. This app helps everyone, be it an investor or an amateur investor.
Lately, Acorns Australia sealed this deal, by signing the agreement with a leading stock exchange operator for the environmental commodity markets, i.e. CBL Markets which brings carbon offsetting to the first mobile investment stage. Right now, in the market, there are many such apps, which we will be discussing ahead in this blog. Now as we move forth, let’s understand how these investment mobile apps work.
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How do Investment Mobile Apps Work?
Investment is a serious topic and thus you must very well understand how difficult it can be to develop the investment apps must consist of many functionalities and features, thus it is most certainly complex. They are very much different from the structure that simple mobile app games & ordering extensions have. Thus, if you are keen on developing an investment mobile app, then it is vital to properly analyze the key principles of apps on similar platforms.
- Beginning with the basics, the creation of such apps is certain to include numerous key parts with:
- First is consultation,
- Next is hiring a firm
- The third is establishing fundamental technical features, &
- Last is promotions.
Meanwhile, in this article, we will be covering the primary working principle of this kind of app and then we will discuss the stages that the investment app development process goes through. So, to begin with, the app connects the user’s bank accounts to its system, then on the basis of collected data, the app will analyze the market and present awesome deals and offers to the users.
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Actually, these apps act more like this “thinking robot analyzer”, that can absorb the crucial information from the user’s bank account and also from the search engines, thus making it possible to use Artificial Intelligence to make money. Besides, one more integral feature found in these apps, which is also present in Acorns. It is that they can to a certain extent predict legitimate fluctuations in the market, and thus resultantly, keeps users updated on the rising & fall of the stock rates.
Also, the apps offer unbiased cold-blooded analytics regarding the most integral movements in the market and present users with less risky investment options. Thus, these apps are popular for all the good reasons and which is why most banking and financial institutions are keen on investing in them.
Now when you have it in mind to create an Investment app like Acrons. It is important that you are well informed about the basic and advanced features that need to be integrated. So here are they.
How to Create a Mobile App like Acorns?
Here are the stages that an Investment Mobile App goes through:
The first step towards Investment app development is “Planning”. Like, you can start by creating a plan about financial services that you are keen to offer and risks that you’re willing to take. Consulting a financial advisor is a good idea to do the same. Besides, at this stage, you are also required to choose ETFs. That you are keen on including in your mobile app.
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At this step, you’ll be working on the robotic advisers and do actual app mapping, like how it is going to work. In the offline world, stockbrokers assist people to invest money, whereas, in the offline world, there are robot advisors. They have the ability to handle users’ money. Gateways are present within the systems to help in transferring market info to a trading system. Thus, it is at this stage, that you create the whole system on sketches and make sure that each part of the system is working efficiently.
When developing the mobile app, you will require to create a list of all must-have functionalities and features, the most crucial ones being:
- SSL certificate is important when you require to ensure that fraudulent practices don’t occur as you use the app.
- Incorporation of 256-bit encryption for the account.
- Two-factor authentication can be added to it. To ensure secure login & secure services.
- Enable app users to select investment options as per their choice.
- To ensure ease of usability, two accounts can be included – roundup & settlement.
- A financial planner & virtual trainer can be included in your mobile app.
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Business Model of Acorns
Business Model: In the case of the Acorns app, they charge their users $1/month so they can continue using the services. Now, this is their primary earning model. Besides, the app also enables its users to earn via referrals & this way they can pocket some commission in exchange. So, when it comes to app development like Acorns, you require planning the business model for your app. What would be the charges you will ask from your users and how much do you expect to get a commission?
Development Stage & App Testing
Once all features have been mapped and the outline for your app has been sketched. Then you are all set for app development. Post the development work, the testing is important, before you make your app. This enables you to remove all the bugs, if there are any, in your app. This is also helpful in the removal of bugs, if there are any, in the app. Now you are ready to be launched in the market. With the right promotion and marketing.
Next, we have mentioned, a few of the prominent Investment apps in the market, so you get an idea about what best is available in the market.
What are the prominent Investment Mobile Apps?
A few of the Popular Investment Apps are:
Wealthfront: How does it work: Its working procedure is similar to that of Betterment in which they use software and adopt a passive investing approach used for investing the money but that would only be in 11 ETFs. The passive plus features include tax-loss harvesting, advanced indexing, and direct indexing. Path tool provides visualizations of the financial future.
Cost: – Free for first $10,000 invested, then 0.25%/ year with a $500 minimum balance.
Reasons to like it: If you are a parent and looking to save for your children’s future then it offers a 529 college savings plan. Free management is provided for the first $10,000.
The lowest limit to invest via this app is only $5. According to your profile that you fill up while signing up. This app will offer you managed risk, low fees, and also historical performance. Plus it recommends various investments best suited for you. The Auto stash feature helps you develop your investing skills and convert you into a pro so that you don’t have to look up to anyone to excel in this field. Retirement and saving options are provided to the ones who are in need.
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Cost: Free for the first month. $1/ month for investment accounts, $2/ month for retirement accounts. A flat fee of 0.25% per year once your account reaches $5000
Reasons to like it: The limit for investing is very low and you can easily start a new chapter in your life. ETFs are organized into categories. They are easy to go through and find companies that are your type.
This is like a manager for you who looks after your credit and debit transactions and invests the spare amount on its own. There are options to invest with referrals, found money features, recurring investments, and one-time investments. Acorns’ was developed with the help of Nobel Prize-winning economist, Dr. Harry Markowitz.
Cost: $1/ month + a flat fee of 0.25% per year once the account reaches $5,000. Free to trade securities and transfer funds
Reasons to like it: It’s free of cost for college students with their .edu address. Authenticated for over for years from the date of registration. It’s very rare to see micro-investments of spare change. The found money feature provided will invest money into your account if you look to shop with acorns partners like that Nordstrom, Macy’s, and Walmart.
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If you’re looking to invest in various stocks, ETFs, or Free options then this app could help you out. It provides access to on-hand deposits and you also do not need to wait for funds to process while selling out stocks or trying to make some deposits up to a limit of $1,000. And if you register to the gold account you will get added benefits. In the form of buying power, large instant deposits, and extended trade hours.
Cost: Free to trade US-listed and OTC securities and transfer funds. A detailed commission and a specific fee schedule are provided here.
Reasons to like it: Selling and buying Bitcoin and Ethereum is available. Also, its easy design makes it easy for you to manage your investments and also the real-time market data.
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This app will invest your money in 13 ETFs by using a combination of human financial advisers and software. It builds up a portfolio for you depending upon your risk tolerance and goals and then after some time rebalances it automatically. A feature in the name of RetireGuide will keep track of your retirement goals and on its own will invest the excess amount of cash in the bank account.
Cost: Digital plan: 0.25% per year with a $0 min balance. Premium plan: 0.40% per year with a $100,000 min balance. The greater amount you deposit, the lesser you need to pay. Free to trade securities and funds transfer.
Reasons to like it: The socially responsible portfolio allows you to align investments with social and personal values. You can also sync bank accounts and other multiple investments, which allow you to look after all the financial activities in a single place.
Hire top mobile app development company to make your own app like Acorns
How much does it cost to create an App like Acorns?
Usually, the cost to develop an Investment mobile app depends largely on four main factors, i.e.
- A financial advisor or virtual investment advisor fee
- App Complexity
- Size of the mobile app
- Number of platforms you want the app to run on
Another crucial factor that affects the cost of such a mobile app is the “Region where the App Development Company falls”, for instance:
- U.S.-based developers: $50 to $250 per hour
- Eastern Europe-based developers: $30 to $150 per hour
- India-based developers: $10 to $80 per hour
Adding all the costs, the development of an Investment Mobile App with average features will cost somewhere around $15,000 – $30,000, for a single platform (either Android or iOS). However, if you choose to develop a cross-platform or add more features to your investment mobile app then expect the cost to go up to $50,000, though investing this much amount surely ensures a superior quality mobile app.