Wording Change Could Address Major Challenge for New Investors – TheStreet
Keeping up with the latest investing lingo?
Eve Halimi, co-founder and co-CEO of investing app Alinea explained how a shift in investing terminology can help level the playing field.
EVE HALIMI: I think a lot of the terminology that's been created in finance has been done in a way that blocks the general public from understanding a certain topic. For example, ETFs are extremely daunting of a word to understand, and even when you go on Investopedia or other resources online, the definitions don't make much sense for someone who hasn't taken any finance courses. And so we're working on redefining these terminologies. So, for example, playlist, investing playlist is a concept we've created to explain what an ETF is.
So an investing playlist is a collection of investments, so it can be stocks, crypto or bonds or ETFs that you bundle up together. It can go up to over 10,000 investments in one and users can create these playlists. But we also had a linear create playlist for users. So it's kind of like if I went on Spotify. And I was saying, hey, I'm in the mood for a pop playlist, you're doing that for me, right? Exactly and we've created a playlist like fighting climate change, where you can invest in companies that are fighting the cause and you can invest in female founded companies, and you can invest in tons of different topics. For example, we had a playlist that really trended recently that was pro-abortion rights that a lot of people were investing in, essentially.
Reading the news is really important, staying on top of what's going on in the markets. That's why I always encourage people to get started with $5 in a company that they're interested in just because you can kind of stay up to date with what's going on. But yeah, looking into earnings, being more of a shareholder and really staying on top of it.
