Same goal but for different types of investors
Curvo and BUX share the same goal, which is for millennials and Gen-Z to prepare for their financial future. However, they target different types of investors because of their different approach.
BUX leaves all the hard investment decisions up to you
They're a broker, meaning that they simply give you access to the financial markets. But you're fully responsible for making the right investment decisions. You have to figure out what to buy, when to buy, understand the tax implications of your decisions, rebalance your investments, make sure they stay in line with your goals and risk tolerance... This is not an easy task, and doing it well is even harder. It requires knowledge about investing and the financial markets, your time, a lot of motivation, and a healthy dose of self-confidence. The learning curve can be daunting, especially if you have little experience with investing.
Automation takes care of all the complexities of good investing
We realised the difficulties of investing through a broker like BUX. So our approach is different: the right investment decisions are made for you so you don't have to worry. Rather than having to pick the right stocks, ETFs and crypto among the thousands available on BUX, you invest in an investment portfolio that is tailored to you and your goals. These portfolios are composed of globally diversified index funds, meaning you earn a piece of the growth of the global economy, and they're best suited to make the most of your savings long term.
Automated investing is for you if
- You want to invest in a plan tailored to you. When you sign up, the first step is to get to know you. A portfolio is then built that is tailored to you and your goals.
- You don't necessarily want to spend your free time on your investments. The financial markets are probably not a hobby of yours. You can grow your savings by automatically investing in the markets, while being able to spend your free time on the things that matter the most to you.
- You want to automate your saving habit. It takes just a couple of taps in the app to set up an automated monthly saving plan. Then every start of the month, the amount that you choose is debited from your bank account and automatically invested for you in your portfolio. Naturally, you can change the amount at any time, or even stop it. Adopting good saving habits becomes easy when it's automated!
- You invest for the long term. The portfolios are built to bring you success over the long term. They're not for you if you want to make a quick buck.
- You see investing as a tool for a better financial life. We believe that investing is an important tool for our generation to improve our financial well-being and to prepare for our future. So you're in good company with us if you share this belief!
BUX is for you if
- You really know what you're doing (or you think you do 😉). Building an investment portfolio that is right for you is not an easy task. There are many factors that come into play when deciding if a particular ETF or stock is a good investment. To avoid costly mistakes when investing your savings, it's important your investment decisions are deliberate and well-researched.
- Trading is your hobby. Managing your own investment portfolio and doing it well requires considerable time. It can be hard find the motivation unless you're passionate about investing. If you enjoy studying quarterly earning reports of companies and the Financial Times, then BUX is probably for you!
- You're convinced you can beat the markets. Curvo is rooted in passive investing through index funds, meaning that the portfolios follow the returns of the global financial markets. If you think you can beat the other investors around the world, you should invest with a broker like BUX instead.
- You're OK paying a subscription fee of €2.99/month. The fee is automatically deducted from your account balance. If you don't have sufficient balance, they will continue charging you for maximum one year for €36. After this, your account can be deleted.
- You love dopamine. Investing in individual stocks, ETFs and crypto is exciting. You think you're a little Warren Buffett when the stock or thematic ETF you picked does well. But conversely, after a bad investment, the inevitable feelings of regret also come up. Compared to this emotional rollercoaster, passive investing can be perceived as boring. But that's on purpose: we think good investing is boring!
- You want to invest in the companies you love. You can buy stocks of your favourite companies through BUX.
Combining the two
It's possible to invest both ways by, as they say in finance speak, a "core-satellite" strategy. In the "core" are your investments that are well diversified, long term, and don't ever need to change. The portfolios built by NNEK and offered through Curvo were built to fill that role. The "satellite" is a smaller part that you allocate to more actively managed investments. You can use BUX (or any other broker) to invest in individual stocks, thematic ETFs, or cryptocurrencies.
With this approach, you still get to experience the excitement that comes with picking your own investments. But you also have the peace of mind that the majority is invested in a well-thought-out, diversified portfolio that will bring you success long term.
Don't take our word for it
What I appreciate with passive investing compared to a broker is that it provides a plan for my long-term investments!