Socially-responsible financing has achieved breakthrough progression in the investing industry. A wide array of financial products is now made commercially available for the public to participate in investing for good. We look into 10 impact investing apps that make it easier for you to achieve financial returns while contributing to a better society.
EarthFolio is the first sustainable robo-advisor and the only ethical investment platform that invests exclusively in funds classified as Sustainable or Responsible. Since 2000, Earthfolio has had a laser-focused portfolio of companies with “best-in-class” environmental, social, and corporate governance performance using the 10 ESG criteria. It provides you with a tailor-made investment plan based on your goals and risk tolerance. It automatically rebalances it to stay on track with your investment preferences.
Ellevest is one of the greatest impact investing applications for women, as it was created by women for women. Recognizing that the investment industry is male-dominated, Ellevest was established to create a digital investment platform that puts women first. It uses gender-specific information like salary, longevity, and goals to develop your customized portfolio. The company offers several options for SRI, including funds that invest in companies with high standards for ethics and sustainability, community services, and female leadership. An Ellevest subscription includes online investing, on-demand learning, a debit account, and money and career coaching.
OpenInvest is structured as a Public Benefit Corporation (PBC), writing its corporation’s environmental and social missions into its legal charter. The green investing app recently acquired by J.P. Morgan creates a value-driven ESG portfolio equipped with transparent and tangible impact reporting. Selecting from the S&P 500 universe, indexing, impact reporting, proxy voting, tax optimization, and more are all available through OpenInvest’s personalized investing experience.
Interactive Brokers (or IBKR), established in the United States in 1993, is a global brokerage firm that streamlines the brokerage services method. It focuses on market access, low costs, and unrivaled trade executions with an ESG slant. IBKR launched the IMPACT App to make investments in companies aligned with one’s values simple through transparency. Inexperienced investors can effortlessly create an elaborate portfolio that aligns with your ESG values through intelligent sustainability investment.
One of the newest players in the robo-advisor industry is Sustainfolio. Like Earthfolio, it prides itself on being 100% focused on sustainable investing. It is a program of Sustainvest Asset Management (founded in 2013), an independent investment advisory firm 100% focused on sustainable investing. The app was developed to help further the mission of sustainable investing and opening up the movement of ESG. It offers low-cost and customized portfolios masterfully selected using ESG criteria across asset classes.
Goodments is an ethical investment app and a Certified B Corp based in Australia. It has been making investing effortless with an automated investment, deposits, and even administration of tax forms. Goodments provide sustainability ratings in every investment product based on your selected ESG values. It also features an overall Goodness score across all your holdings. In 2021, Goodments was acquired by Douugh, a smart banking app, and it continuously strives to make value-driven investment easy.
CIRCA5000 prides itself on being “the investment platform of the human future.” It is one of the best impact investing apps available online for UK investors and a Certified B Corp focusing on responsible businesses supporting at least one SDG. CIRCA5000 can keep an eye out for greenwashing thanks to a relationship with Net Purpose, which gives third-party data to analyze the company’s claims. Its portfolios are organized around two primary themes: the environment and people. Investors can choose one or a combination of the two. Choose from three different risk levels: cautious, balanced, or daring.
One of the first robo advisors launched an SRI portfolio in 2017, Betterment has risen to become the largest and most popular robo-adviser platform. It responded to consumer demand for socially conscious investing for a low fee by embracing SRI-focused funds and ETFs. Betterment’s socially responsible portfolio is tailor-made for people looking to specifically invest in climate impact, social impact, or a broad impact. It is an independently owned smart money manager and the largest independent online financial advisor equipped with a team of industry experts.
Personal Capital is one of the most widely used investing apps, with over 2 million users. It is an automated investment advisor known for its free money and investment management tool suite. Its premium wealth management feature blends automated investment tools with active human management. For those that wish to include SRI in their investment activity, the platform offers its Socially Responsible Personal Strategy that supports and invests in companies more proactively managing environmental, social, and corporate governance-related issues
Nutmeg is one of the best impact investing apps in the market, with diverse account types and a socially conscious portfolio. It is a J.P. Morgan company based in the UK. Nutmeg is perfect for beginner investors. It has a well-designed user interface and a detailed onboarding process. Users of Nutmeg can choose to have fully managed, fixed allocation, or socially responsible investments, each with its own fees and offerings. The platform’s socially responsible selection includes companies with excellent social, environmental, and governing standards and dodges controversial companies.