As we speak, AI is getting integrated into almost everything, and now it has even made its way into stock investing apps. Bloom, a zero-commission stock investing tool for teenage investors, completed 1 million downloads in February last year. The company was founded by Allan Maman and Sam Yang, who launched this app to help 14-year-olds learn money management and how to invest in the stock market.
This app provides over 10 million lessons on investing, stocks, and finance. The founders realized this problem when they wanted to invest their own money but needed a dedicated platform to learn from. They are trying to make it possible for kids to learn to invest and manage their money early.
Bloom: Learn to Invest
The company is considering using its algorithm to teach basic financial skills. This is an investment learning app that is not available for free, and you will need to subscribe to access it. According to a study by TIAA, over 50% of people cannot answer basic financial questions, so Gen Z needs to receive exposure to financial literacy classes. It is right to say that even adults do not have financial knowledge, which is why they cannot educate their younger generation. Most importantly, when Gen-Z turns 18, they do not magically have money, and there is no platform to practice. Trading high-risk options or borrowing money is not a good idea, so through Bloom, they can learn the basics.
The company has no brokerage service, but Alpaca Securities LLC provides secure banking integration. Bloom uses TradingView for charting. With this AI-powered financial learning platform, children can start making smart decisions as early as 13 or 14 years old. By the age of 20, they will better understand finances. Parents can set up apps and approve or decline certain trades or stocks with the combination of safeguard and education modules. There are 16 different models, and you can secure investments of up to $1 through this app.
How Safe is Bloom Investing Financial’s App?
This app is quite safe, and the Bloom Investing app uses bank-level security and SSL to ensure your information is fully protected. After downloading the app, you can link your guardian’s bank account and deposit funds. This requires parental involvement because opening an investment account in the US is legal once you are 18 years old. The company has also provided a parental web portal for guardians to offer control over the company.
Most of the existing platforms offer free credit that allows you to trade free stocks, but they need to share fundamental knowledge and solve any problems. At present, Instagram is quite popular, so the company’s founders have created a structure that looks a bit like Instagram’s interface so that users can become familiar with the user interface.
Learning Bloom App to Invest
The Bloom app teaches you many financial lessons, including stocks, personal finance, investing, and more. Here is what you can learn from the Bloom app:
- Investing: Learn what investing is and how to grow your money through stocks. Also, learn about the myths and risks involved in investing.
- Stocks: Learn what you need to know about investing, how to research stock prices, and how to invest in stocks.
- Market: Learn about IPOs, bids, and other terms such as earnings reports, stock splits, pattern day trading, and basic things about stock exchanges.
- Fundamental Analysis: Learn how to understand how much your stocks are worth using methods such as discounted cash flow analysis.
- Personal Finance: This module includes net worth, credit score, interest, paycheck, personal money management, and emergency funds.
- Budget: Learn how to prepare a budget, the 50/30/20 rule, and other factors you need to understand.
- Types of Stocks: Learn about common stocks, preferred stocks, large caps, small caps, growth stocks, and other related topics.
- Assets: Learn about things like real estate, mutual funds, and commodities and what they are, especially illiquid assets like bonds.
This app will teach you several highlights and other things, such as in the Pro version, where you can access features like Wallet, Return, Deposit, and Transfer, and lastly, the importance of saving, including collecting profits. Other things, such as understanding interest rates, losses, taxes, credit, and inflation, are also taught.
In the app, you can find various educational materials and quizzes for reinforcement, and solving them incentivizes learning as a reward. For example, if you solve a quiz, you will earn some points that you can spend on the app. The app’s co-founder, Allan Maman, already has experience creating AI applications, including a photo app with 250,000 AI-powered users. If you want to cancel your subscription, you can do so through the Bloom app settings, and it will end at the next cycle.
However, this app is not free. It costs $15 monthly, or you can opt for a $120 yearly membership. There is no need to maintain a minimum account balance in this app. As we mentioned, the Bloom app crossed 1 million downloads last year, and the company’s revenue has already reached seven figures annually. Due to this, investors like Copper, Greenlight, and others have provided the company with $4.4 million in seed funding in 2022. Most of the app’s users are between 18 and 25 years old and may also offer a freemium-type module.
