Ethical investments platform Goodments launches app in Australia
Users can actively select which industries they want to include, and which to exclude, from their portfolio.
Socially conscious investment app Goodments, which matches users to companies based on their personal values, has launched its app in Australia for both iOS and Android. The app offers Australians access to more than 2,000 shares and exchange traded funds (ETFs), including US-listed shares and ETFs, filtered based on their individual environmental and social values, and allows users to trade without brokerage fees.
The app empowers users to actively pick and choose what industries they want to support and which they don't. For example, you might say you want to exclude any companies that test their products on animals or are involved in fossil fuel production. And you might tell the app you want to include companies that are focused on recycling or good employee working conditions. The app will then surface a range of shares and ETFs for you to invest in that match what you're looking for. Users can also simply search specific companies by name, or sort by what's trending among other Goodments users to get some inspiration.
Head of growth at Goodments Jye Beckett said they can already see which issues are the most important to users based on activity in the app. "Renewables and waste reduction rank highest, with an inclusion rate of 57% and 52% respectively. We've also seen strong opposition to tobacco, animal cruelty and fossil fuels, with these being the most consistent exclusions," he said.
Instead of charging a brokerage fee for each trade like traditional share trading platforms, Goodments has opted for a subscription-based fee model instead, starting from $11.99 per month. CEO and founder of Goodments Tom Culver said their app is not only cheaper (compared to CommSec which charges $19.95 for each trade), but more aligned to how young Australians want to invest their money today.
"In the US more than 50% of people have shares, here it is less than 10%. There is a massive opportunity for growth in Australian investors. Technology is the great equaliser and Goodments is able to completely change the game for new and younger investors by making it simple, cheaper and importantly, more aligned to how people think today. Our experience is simpler, and by shifting from a pay-per-trade model to a brokerage-free subscription model our users can trade as much as they like and with as little as $US1. Want to buy a Tesla share but only have $10, great, with Goodments you can own a percentage of a share," said Culver.
Goodments has recently introduced several new managed funds to the app, including an LGBTQIA fund and a "no banks" fund.