Super Obvious review
- Investment product
- Managed Fund
- Minimum Investment
- Number of Portfolios
Super Obvious is an investing and savings app that helps its users grow their funds in an ethical manner. While the app is certainly not the first ESG investing app, a combination of competitive fees, low barriers to entry and its mainly foreign holdings will appeal to its core members.
It also arguably has the best explanation of why it holds the assets that it does, which is a handy nod to its retail clientele. Unfortunately, it only has a single portfolio that doesn't take into account the different levels of risk that investors might want to take on and it doesn't offer auto investing tools. Overall though, if you want to invest in an ESG portfolio without having the pressure of doing the research yourself, this app could be for you.
How does the Super Obvious platform work?
Super Obvious is an investing app that allows you to invest in ethically sourced businesses.
The app intends to find investments that have a positive impact on the world. It specifically screens out businesses involved in coal mining, rainforest logging, intensive farming, extraction of oil and gas, or tobacco, alcohol and gambling.
While an investing app isn't exactly new, Super Obvious's claim to fame is its ethically based funds and its unique way of explaining to customers its ESG impacts.
It works pretty similar to any other investing app. You can quickly sign up to the platform, deposit funds (in this case, start investing from $1) and pay a monthly fee in return for the service.
What does Super Obvious invest in
Super Obvious is not a share trading platform, so it isn't designed to let you trade assets. Instead, it is an ethical savings and investment app.
If you sign up to the app and invest your money, the fund will do the work for you.
Ellerston Capital, the investment firm behind Super Obvious, will pool your funds with other inventors and use the funds to invest in an ethically based strategy. The site is pretty clear on what they own and lists its full holdings here.
What doesn't Super Obvious invest in
Being an ethically based investment app, Super Obvious has 2 ways of screening: positive and negative screening.
The business refuses to invest in the following:
- Rainforest and old growth logging
- Coal mining
- Intense farming and aquaculture
- Extraction of oil and gas
At the same time, its screening is also based on the quality of the company and its positive impact on the planet.
Super Obvious is actually pretty good at explaining how the shares you own impact the planet. They go through and explain what the business does, why the app likes them and how it's right for the planet.
Who does the app suit?
The app is suited to pretty much any long-term investor, although it obviously has a strong bias towards ESG investors.
Newer investors will appreciate having low minimum deposits and having their finances professionally managed.
It also allows investors to invest up to $25,000, which should benefit a large contingent of retail investors who want to invest in an ESG way or at least want some of their money professionally managed.
It has some drawbacks for those with larger investment portfolios.
If you want to invest sums greater than $25,000 and you don't want to have your money in multiple spots, then this app might not be for you.
It's also not suited for those who need their money in the next couple of years. The app points out that it is exposed to growth assets. As Super Obvious's own product disclosure statement says, investors should have an investment time horizon of over 5 years.
Super Obvious says that it is seeking to outperform the MSCI World Mid Cap Net Return by 3% over a rolling 5-year period.
The business says it can do this by investing in somewhere between 20 and 40 securities.
As at 15 November 2022, Super Obvious's Everest Strategy returned 10.56% per annum versus a benchmark of 9.08% since the fund's inception in March 2017.
While this is under the 3% outperformance goal, it still has larger returns for members than investing in the benchmark.
Is Super Obvious safe for beginners?
The way the app is designed makes Super Obvious safe for beginner investors.
Its low costs, low minimum entry points and having professionals manage your money for you are just some of the reasons why newer investors should consider it safe.
Fees and charges
When it comes to fees, the app is pretty competitively priced.
Under its model, investors who have under $1,000 will not pay a monthly fee.
If you have between $1,000 and $25,000, you'll pay $2 a month. For accounts with over $25,000, you can be rejected from making further applications.
While Super Obvious doesn't have a performance or transaction fee, it does charge indirect costs. These are estimated at 0.21% of the net asset values. These variable costs are deducted from the assets of the funds.
What fees does Super Obvious charge?
One area where Super Obvious stacks up strongly against its competition is through its fee structure.
Unlike most other micro investing apps where they'll start charging you after you pass $100, Super Obvious only collects fees on balances above $1,000.
Better still, it's $2 per month ranks it around the lowest on market.
Customer reviews of Super Obvious
When it comes to customer reviews, Super Obvious is actually rated pretty highly.
Albeit at the time of writing, this is off an incredibly low base.
Its 1 Apple rating was 5 out of 5. Other sites that give out customer reviews were yet to comment.
When it comes to customer service, you have 2 ways of contacting the app:
- Phone call
The app will provide customer support between 9am and 5:30pm Monday through Friday.
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