BlackRock’s investment in the microinvesting app Acorns underscores an evolution occurring in financial services in its shift toward digital — that gaining scale early will be essential to amassing future client assets.
The world’s largest ETF provider may be interested in targeting millennials, said Jackie Shroyer, a senior analyst for Corporate Insight. “BlackRock sees this as a golden opportunity to reach millennials, who within a few years will have started entering their prime earning years and emerged as an economic force.”
“From the digital banking customer experience perspective, having access to this type of tool would be a nice add-on feature for customers with checking and or savings accounts,” said Meredith Barthold, senior analyst at Corporate Insight. “Microinvesting services that are easy to set up and offer clients a greater potential return versus a savings account are a logical add-on for such banks.”