Micro-investing app Acorns Australia, which is a joint venture of Instreet and US-based Acorns Grow, has announced it will offer clients an option that meets environmental, social and corporate governance standards.
The Emerald Portfolio investment option will be constructed with ASX-listed ETFs selected by Instreet subsidiary The Emerald Wrap.
The Emerald Wrap platform was acquired by Instreet in January 2015 and had $30 million in funds under management at the time.
The new Acorns portfolio is diversified across asset classes and geographical regions including Australian equities, international equities, bonds and cash, the statement said.
It has a risk-return profile similar to Acorns’ current 'Moderately Aggressive' portfolio and aims to achieve similar returns.
Acorns Australia and Instreet chief executive and managing director George Lucas said Acorns has been used predominantly by the Millennial market over the past year.
“Millennials are more attuned to the social impact of their actions than other demographics and are driving the interest in sustainable investment. However, they also don’t want to give up their ability to get returns,” Mr Lucas said.
“The Emerald Portfolio allows them to participate in the financial markets with an option to align their investments more closely to their values,” he said.
The launch of the new Emerald Portfolio follows Acorn’s recent introduction of a carbon-conscious saving feature designed to track the carbon footprints of app-users.
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