Investing with Finhabits
Can my investment lose value?
Last Updated: September 17, 2024All investments fluctuate depending on the market. Therefore, it is customary to see short-term fluctuations (up and down) in your Finhabits account. The important thing is that history shows us that investments grow in the long term.
What strategies do Finhabits use to diversify investments in the stock market?
Last Updated: December 22, 2025At Finhabits, we understand that every investor is unique. That’s why our investment portfolios, crafted by experts with over 20 years of experience, are not limited to a single company selection. Instead, our team has designed diversified and well-thought-out investment strategies that cater to various investment profiles and financial objectives. This inclusive approach aims to…
How does compound interest work in Finhabits accounts?
Last Updated: September 17, 2024Compound interest has a powerful impact on long-term investments. At Finhabits, the interest generated depends on the type of portfolio you invest in, which can be conservative or more aggressive. Conservative portfolios have an expected annualized return of 1.5% and 3.5%, while more aggressive portfolios can reach 6% or 7% percent. Your money starts working…
What are the pros and cons of high-risk investments?
Last Updated: January 2, 2026High-risk investments have the advantage of offering more significant long-term return potential, especially in retirement accounts. This is because you take on more risk, which can translate into higher returns over time due to the effect of compound interest. However, higher-risk investments also carry a greater risk of loss, especially in the short term, so…
Can I choose which company to invest in?
Last Updated: September 17, 2024No. Finhabits investment portfolios, crafted by experts with over 20 years of experience, are closed for direct company selection. Instead, our team has designed diversified and well-thought-out investment strategies that cater to various investment profiles and financial objectives. This approach aims to provide our users with professionally managed portfolios, instilling confidence in their ability to…
Are Finhabits investments in mutual funds?
Last Updated: September 17, 2024No. Finhabits’ investment portfolios are in ETFs, not mutual funds. ETFs are Exchange-Traded Funds with better cost and liquidity opportunities than mutual funds. By investing in ETFs, these funds buy hundreds of stocks or bonds of companies based on an index. For example, the ITOT ETF buys the stocks of the largest U.S. companies.
Do I have to pay taxes on my investments?
Last Updated: September 17, 2024When you invest money in a taxable account, such as a standard investment account, you may have to pay capital gains tax when you sell your investments. However, there are accounts such as retirement accounts where qualified withdrawals may be tax-free. It’s crucial to seek advice from a financial or tax advisor for more personalized…
Can I close the investment accounts and continue with the subscription?
Last Updated: September 17, 2024Yes, by subscribing to our Finhabits app, you can enjoy various benefits in addition to investment accounts designed to improve your financial skills and help you reach your goals. Here are some of them: Money Journeys or Financial Challenges: Receive tips to boost your financial skills and habits. Subscriber Exclusive Livestreams: Gain access to live…
What are the steps to open an investment account?
Last Updated: December 22, 2025The steps to follow to start investing are as follows: 1.Download the app 2.Sign up by entering your credit or debit card and get your first month free. 3.Open an investment account. Our virtual assistant, Emma, helps you do it. 4.Connect your bank account to deposit funds in Finhabits, and you will be ready to…
Can I invest with an ITIN?
Last Updated: September 17, 2024Unlike many companies, Finhabits allows you to open an investment account with the ITIN (Individual Taxpayer Identification Number) provided by the IRS, the IRS CP565 notice letter, or a recent W2 form. If you still don’t have your Individual Taxpayer Identification Number (ITIN) know the 5 Steps to Apply for it.
Can I open an investment account if I do not have a SSN?
Last Updated: December 17, 2025If you do not have an SSN, you can also open your investment account if you have any of these documents: ITIN card IRS notice letter CP565 Recent W2
What are the requirements to open an investment account?
Last Updated: December 18, 2025To open an investment account, you need: Have a valid SSN or ITIN Be at least 18 years old Reside in the United States Have a credit card or debit card Have a bank account in the United States or Puerto Rico.
How long does it take to recover my investment?
Last Updated: September 17, 2024Several factors, such as market behavior, type of portfolio, and investment time, influence the return on your investment. There is no exact time guaranteed to recover an investment. However, having a long-term vision and being well-informed is essential to maximize the possibilities of obtaining good returns.
What is an ETF?
Last Updated: August 4, 2025An Exchange-Traded Fund (ETF) is an easy and inexpensive way to invest in the stock market. Think of an ETF as a basket full of stocks of several companies, such as Amazon, Meta, and Disney, all at once. This allows you to diversify your investment and have a better chance of getting good returns. Our…
¿Qué tipo de cuenta de inversión debo abrir?
Last Updated: December 18, 2025Depende de tus objetivos financieros. Si necesitas un fondo de emergencia, puedes optar por una cuenta de ahorro o un fondo de mercado monetario. Para la jubilación, una cuenta IRA o un plan 401(k) son ideales. Para metas de mediano plazo, una cuenta de inversión personal es adecuada.
What does investing with Finhabits consist of?
Last Updated: December 22, 2025At Finhabits, we make investing easy and accessible for everyone. Our investments are designed to help you reach your financial goals in the medium or long term. Here’s how they work: 1.Diversification: Your money is invested in various funds and assets, which helps reduce risk. 2.Personalized Plans: We provide a diverse range of investment portfolios,…
Is it safe to invest my money with Finhabits?
Last Updated: September 17, 2024If you have doubts about how safe it is to invest with us, here is some more information: Finhabits is registered with the Securities and Exchange Commission (SEC), which means we comply with U.S. government regulations. We have partnered with Apex Clearing Corporation to act as custodian of your account. Apex is a member of…
Can I withdraw the money invested when I need it?
Last Updated: September 17, 2024Investment accounts do not have a fixed term, meaning you can request a partial or total withdrawal at any time you wish using our app or website. This convenient process ensures that your money is always within reach when you need it. It’s important to note that when you initiate a withdrawal, the assets in…
Should I maintain a minimum balance in the investment account?
Last Updated: December 22, 2025Maintaining a minimum balance is one way to ensure that your investment account performs optimally. It allows you to take advantage of market opportunities so that your investments continue to grow. For instance, if you suddenly need a large sum of money for a medical emergency, having a minimum balance can help you avoid selling…
How much should I invest each month?
Last Updated: September 17, 2024At Finhabits, we believe in empowering you to start investing with the amount you want. There’s no minimum requirement, so you can begin with $20, $50, or $100 monthly, depending on your possibilities. This flexibility puts you in control of your financial journey. The key is to start and maintain consistency. The amount you invest…
What return can I expect in my portfolio?
Last Updated: December 22, 2025At Finhabits, we offer different types of portfolios with expected returns based on risk level and investment time. Here we explain: Conservative Portfolios: Conservative Portfolios are designed for lower risk, making them ideal for medium-term goals such as a vacation or building an emergency fund you might need in the next 5-10 years. These portfolios…
What is Finhabits investing in?
Last Updated: December 22, 2025At Finhabits, your money is invested mainly in the stock market through diversified portfolios comprising six asset classes using Exchange Traded Funds (ETFs). ETFs are a type of investment fund and exchange-traded product, with shares that trade on stock exchanges. These portfolios are designed to reduce risk and maximize return. Here, we explain what the…
Finhabits investment accounts
Last Updated: September 17, 2024At Finhabits, we provide three account types to assist you in achieving your financial objectives: Emergency Accounts: ○Purpose: Providing individuals with a sense of security and tranquility in the face of unforeseen circumstances. ○Composition: Investments in low-risk, highly liquid assets like government and inflation bonds. Learn more about emergency accounts Investment Accounts: ○Objective: Our Investment…