Neobanks in Investing category

Neobanks' investment accounts

Digital banks increasingly offer their clients the possibility to invest through mobile bank apps and online bank platforms. To that end, these neobanks often partner with established investment firms to provide investors with access to a broad selection of investment products, such as stocks, bonds, exchange-traded funds (ETFs) and sometimes even precious metals, such as gold, and crypto-assets.

Advantages of investing via neobank apps

One of the core advantages of investing via neobank apps is convenience and transparency: one can simply manage investments through a banking app, which frequently has real-time market data, investment tracking, automated portfolio rebalancing, which is often performed by robo-advisers and other investment features. Importantly, most neobanks offer low or no minimum investment amounts, which allows clients to start investing with very low amounts and have a holistic view of their finances.

ETF investing and ETF investment accounts

ETFs, or exchange-traded funds, are investment funds that trade on stock exchanges and are designed to track the performance of specific indices or sectors. ETF investing allows customers to diversify their portfolios across a range of assets. ETFs normally have daily liquidity and can be bought and sold with ease and very low cost.

ETF investing and ETF investment accounts

Another investment product offered by neobanks is the stocks investment account. Stock investing allows customers to invest in individual companies by purchasing shares of their stock. Neobanks typically offer a wide range of stocks for customers to buy or sell and may also offer investment management services to help customers build a diversified portfolio that aligns with their investment goals.

Investing via neobank apps in stocks, bonds and crypto-assets

Neobanks may also offer other investment products, such as mutual funds, bonds, precious metals, derivatives and even crypto-assets. Unlike ETFs, these products require more skill and knowledge but provide customers with more options to diversify their investments and make investments that correspond to clients' investment outlooks and risk profiles.