Experts offer advice on how you can begin preparing for retirement from your smartphone
Planning for retirement can be a long and strenuous task, especially when it comes to how much you can save for the future. KCAL News reporter Joy Benedict sat down with several financial advisors and investors who offer some tips on how you can start prepping without having to leave the comfort of your home.
Daron Campbell, a real estate investor, cashes in by playing the stock market on a day-to-day basis using Robinhood, an application that allows participants to invest, utilize retirement account options and delve into the world of cryptocurrencies.
"I love them," Campbell said. "I love the concept, I think they're emerging."
He started using Robinhood a couple of years ago when he first began teaching his children about investing. Now, he's one of many people who have begun to invest through their smartphone, thanks to the easier process it provides.
On top of Robinhood, planners can also download a few other applications that fit into three categories of investing: trading, savings and robo-advisors.
James Royal, a reporter for Bankrate, says that robo-advisors are "a service that basically designs a whole investment portfolio for you. You basically just add money to it on a regular basis and it takes care of all the investing at a very high level."
He says that two apps rate the highest for robo-advising on Bankrate — Betterment and Wealthfront.
"If you wanna invest for retirement — 10, 20, 30 years later — you can do that," he said. "You can invest for a couple years from now to save for a down payment on a house, you can do that."
Royal also suggests Acorns for users looking to stash away extra cash. The application only requires you to link a credit or debit card to their service, which then rounds up all the purchases to the nearest dollar and "squirrels" away your pennies, putting them into a fund of your choice.
"It's never been easier or cheaper to invest in the stock market than it is today," says Royal.
While Robinhood continues to get the best reviews, based on their user-friendly interface and lower fees, some better-known companies are now beginning to toe the water, creating new applications to compete.
"Fidelity and (Charles) Schwab offer a whole package in contrast with Robinhood, which focuses on the trading and individual stocks and funds," Royal said, noting that the household name hey're hoping to draw in more users based on their universally known prowess.
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