How to Make the Most of Investing
The idea of earning money while doing nothing sounded too good to be true but investing apps have changed the game, they let you put your money to work and earn returns automatically. With the right approach, they can become a reliable side income stream.
Here’s my personal guide to using investing apps, even if you’re a complete beginner.
Disclaimer: I am not a financial advisor, and this post is for informational purposes only. Investing involves risk, including the potential loss of principal. Past performance does not guarantee future results. Always do your own research and consult a licensed financial professional before making any investment decisions.
What Are Investing Apps?
Investing apps are platforms that allow you to buy, manage, and track investments using your smartphone or computer. Unlike traditional brokerage accounts, these apps often simplify investing, automate strategies, and make it accessible to anyone.
Common types of investments you can access through apps:
Stocks and ETFs – Own a piece of a company or a collection of companies.
Dividend paying stocks – Earn regular payouts in addition to potential stock value growth.
Robo advisors – Apps that automatically invest your money based on your goals and risk tolerance.
Micro investing apps – Allow you to invest small amounts, sometimes rounding up purchases to invest spare change.
Cryptocurrency apps – Buy, hold, or stake crypto for potential growth or interest.
The goal is simple: put your money in assets that generate returns, either through growth, dividends, or interest, without needing to actively trade all the time.
Choose the Right App
Not all investing apps are created equal. Choosing the right one affects:
Fees – Some apps charge commissions, management fees, or withdrawal fees. Lower fees mean more of your money grows.
Investment options – Some apps focus on stocks, others on ETFs, bonds, or crypto. The right app depends on your goals.
Ease of use – Beginner friendly apps with educational resources are easier to start with.
Automation features – Automatic contributions or portfolio rebalancing make investing more passive.
For example, an app with high fees could eat away at your returns over time, while one with automated investing and low fees lets your money grow efficiently with minimal effort.
Set Up Your Account
Setting up an investing app usually involves:
Creating an account – Provide your personal info and link a bank account.
Choosing a risk profile – Many apps ask about your risk tolerance to suggest investments.
Funding your account – Start with whatever amount you’re comfortable with, even small amounts.
Tip: Start small while learning the platform. You can always increase contributions as you gain confidence.
Start Investing
Once your account is set up, you can begin investing. Here’s what I focus on:
Automated contributions – Set up weekly or monthly deposits so investing becomes automatic.
Diversification – Spread investments across multiple assets to reduce risk.
Reinvest dividends – Most apps allow you to automatically reinvest payouts to compound growth.
Personal anecdote: I started with $50 in a micro investing app. Over a few months, I added small weekly contributions, and thanks to compounding and dividend reinvestment, my balance started growing steadily without me actively managing it.
Monitor, Don’t Micromanage
Investing apps make it easy to track your portfolio, but the key to passive growth is patience. Check your account occasionally, but avoid the temptation to react to every market swing.
Tips:
Use app alerts for significant changes or milestones.
Track your contributions and returns.
Adjust your strategy annually or if your goals change.
Maximise Returns
Take advantage of automation – Auto-investing and dividend reinvestment compounds growth.
Keep fees low – Avoid apps with high commissions or hidden fees.
Diversify investments – Don’t put all your money in one stock or sector.
Be consistent – Regular contributions outperform occasional large deposits over time.
Educate yourself – Most apps have resources to help you understand investing basics and strategies.
My Experience
I began with a simple micro investing app, contributing small amounts weekly. Initially, growth was slow, but as I diversified into ETFs and dividend paying stocks, my portfolio started generating steady returns. The beauty of investing apps is that I can grow my wealth passively, without needing to actively trade or constantly monitor the market.
Over a year, even small contributions added up, and dividends started reinvesting automatically turning tiny amounts into meaningful passive income.
Pros and Cons
Pros:
Money grows passively through compounding and dividends
Beginner friendly, accessible from your phone
Flexible contributions—invest small or large amounts
Educational resources help you learn investing
Cons:
Investments carry risk; value can fluctuate
Returns take time - this is not a get rich quick approach
Some apps have fees or limited investment options
Final Thoughts
Investing apps are one of the most effective ways to build passive income over time. The key is to start small, automate contributions, diversify, and be patient. With consistency and smart choices, your money can grow steadily, giving you financial flexibility and freedom in the long run.
