Do I have to invest a minimum amount to open an account with Carbon Collective?
We strive to make sustainable investing accessible to everyone, with a current investment minimum of $1,000.00.
That being said, the long answer to that question is that we do suggest a beginning investment in the range of $2,000-$5,000.
Since this fee change is a fixed cost, the way it effects different accounts as a percentage of their assets under management (AUM). It is significant for small accounts – which is why we have established a higher minimum – and it is less significant for larger account.
We've given the fee percentage at a variety of amounts below to give you a sense of how our fees impact you given your account balance.
- $1,000: $12/year is 1.2% fee – This is really high and we strongly encourage you put more money on the platform or find a platform that is a better fit.
- $6,000: The fee increase is 0.20% or twice the current core fees.
- $10,000: The fee increase is 0.12% which is a 50% increase over the core fees.
- $50,000: The fee increase is 0.02% which is a 10% increase over the core fees.
- $100,000: The fee increase is 0.01% which is a 5% increase over the core fees.
- $500,000: The fee increase is 0.002 % which is a 1% increase over the core fees.
Don't feel like you can afford that just yet?
We know investing can seem kind of out of reach for some. We believe the best way to grow your wealth is slowly and steadily, so we recommend setting up recurring deposits.
This is easily done in the Altruist app, and allows you to automatically send funds from your bank to your investment account without having to think about it.
That way, you can build up toward where you'd like your investments to be over time, watering that initial investment into your green retirement fund.
If you are facing financial hardships or are a student you can email support@carboncollective.co and ask about a lower minimum investment amount.