Spare change might not seem like much, but it’s quietly fueling a new generation of investors.
Micro-investing apps like Acorns, Stash, and Public are gaining traction by letting users invest small amounts of money — often by rounding up purchases and putting the extra cents into ETFs or stocks.
“It’s about lowering the barrier,” says Nia Jackson, a fintech analyst. “When you remove the pressure to invest large sums, people start participating who never would have before.”
The model is simple: buy a $3.45 coffee, and $0.55 goes into your portfolio. Do that a few times a week and it starts to add up — especially when coupled with recurring deposits and cashback incentives.
But critics say the fees can outweigh the gains, especially on small balances. Some apps charge monthly subscriptions or high expense ratios, which can erode returns if you’re not careful.
Still, for younger users or those intimidated by traditional brokerages, micro-investing offers a gentle way to build confidence.
The takeaway?
Micro-investing won’t make you rich overnight. But with discipline and time, your pocket change could start pulling real weight.
