Sharesies vs. Hatch: Which Investment Platform is Right for You

Introduction

Investing in the stock market has become more accessible than ever, thanks to the proliferation of online investment platforms. Two popular options in New Zealand are Sharesies and Hatch. These platforms offer different features and cater to various investment preferences, making it essential to understand the differences between them to determine which one is the right fit for your financial goals. In this article, we’ll compare Sharesies and Hatch, exploring their key features and what sets them apart.

Sharesies: Making Investing More Accessible

Sharesies, launched in 2017, has rapidly gained popularity in New Zealand for its user-friendly interface and mission to democratize investing. The platform allows users to buy and sell fractional shares, making it ideal for those who want to start investing with a limited budget. Here are some key features of Sharesies:

• Affordability: One of Sharesies’ standout features is its ability to buy fractional shares, meaning you can invest in high-priced stocks without needing to purchase a full share. This opens up investment opportunities for individuals with modest budgets.
• Diverse Investment Options: Sharesies offers a wide range of investment options, including New Zealand and international shares, exchange-traded funds (ETFs), managed funds, and more. This diversity allows you to build a well-rounded portfolio to meet your investment objectives.
• User-Friendly Interface: The platform is designed with the user in mind, making it straightforward for beginners to start investing. It provides educational resources and tools to help users understand the world of investing.
• Transparency: Sharesies is transparent about its fees, making it easy for investors to understand the costs involved in their investments. The platform charges an annual subscription fee, which can be advantageous for active investors with a larger portfolio.
• Community and Social Element: Sharesies fosters a sense of community through its forums and discussion boards, where users can engage with other investors, share their insights, and learn from one another.
•  Join Sharesies here

Hatch: Access to International Markets

Hatch, on the other hand, is designed to provide New Zealanders with access to international investment opportunities. It offers a gateway to the US and Australian stock markets, allowing users to invest in companies listed on these exchanges. Here are some key features of Hatch:

• Access to International Markets: Hatch enables New Zealand investors to purchase shares in companies listed on the US and Australian stock exchanges, such as Apple, Amazon, and Tesla. This access to global markets provides diversification opportunities beyond the local market.
• Direct Ownership of Shares: Hatch allows users to directly own shares in the companies they invest in. This means you have more control over your investments and can receive dividends if the company pays them.
• Wide Range of Investments: In addition to individual stocks, Hatch offers access to ETFs and index funds, providing a broad range of investment options to suit various strategies and risk appetites.
• No Subscription Fee: Unlike Sharesies, Hatch does not charge an annual subscription fee. Instead, it operates on a transaction-based fee structure, where you pay a fee when you buy or sell shares.
• Educational Resources: Hatch offers educational resources and insights to help users make informed investment decisions, particularly in the context of international markets.
• https://app.hatchinvest.nz/share/rtb24muk

Which One Should You Choose?

The choice between Sharesies and Hatch ultimately depends on your investment goals, preferences, and level of experience. Here are some considerations to help you decide:

Choose Sharesies If:

• You are a beginner investor or have limited funds to start with.
• You prefer to invest in New Zealand shares and ETFs.
• You appreciate a user-friendly platform and a sense of community among fellow investors.
• You want transparency in fees and are comfortable with the annual subscription model.

Choose Hatch If:

• You want to access international markets and invest in US and Australian stocks.
• You have a specific interest in owning shares in individual international companies.
• You are comfortable with a transaction-based fee structure and don’t want to pay an annual subscription fee.
• You are looking for diversified investment opportunities beyond New Zealand.

Conclusion

Sharesies and Hatch offer unique investment opportunities, catering to different preferences and financial goals. Sharesies is well-suited for those looking to invest in New Zealand and start with a limited budget, while Hatch provides access to global markets and individual international stocks. Carefully assess your investment objectives, risk tolerance, and budget to determine which platform aligns with your needs. Both platforms have their strengths, and the choice between them should be based on what suits your individual circumstances and investment strategy.

Disclaimer: I may receive a small commission if you sign up with Sharesies or Hatch.

www.robertastewart.com