Plum started out as a fintech startup designed to help users manage their finances and save money, but its newest feature offers an ethical investments option that allows users to fund virtuous companies or moral technology. This feature falls under Plum's theme-based investing concept which allows people to invest in pre-constructed portfolios such as "Tech," "Emerging Markets" and "Ethical Companies." These options were constructed by Plum as a means of appealing to its Millennial-heavy user base, in particular the options surrounding technology and ethical investments.
The ethical investments option is perhaps the most interesting option in the new feature as it employs Plum's low-cost investment options. Currently, the platform allows users to invest as little as £1, but this amount is spent on something with an ethical implication.
Ethical Millennial Investment Options
Plum Lets Users Invest in Ethical Investment Options
Trend Themes
1. Theme-based Investing - Plum's theme-based investing concept offers disruptive innovation opportunities by allowing users to invest in pre-constructed portfolios, catering to different interests like technology and ethical investments.
2. Ethical Investments - Plum's ethical investments option presents disruptive innovation opportunities by enabling users to fund virtuous companies and moral technology, aligning their investments with their values.
3. Low-cost Investment Options - Plum's low-cost investment options create disruptive innovation opportunities by allowing users to start investing with as little as £1, making ethical investing accessible to a broader audience.
Industry Implications
1. Fintech - Within the fintech industry, there are disruptive innovation opportunities for companies to develop platforms like Plum that offer theme-based investing and ethical investment options.
2. Socially Responsible Investing - The socially responsible investing industry can explore disruptive innovation opportunities by leveraging Plum's ethical investments option, providing more accessible ways for investors to support virtuous companies.
3. Personal Finance Management - In the personal finance management industry, disruptive innovation opportunities can arise from incorporating low-cost investment options like Plum's, enabling individuals to align their financial goals with their ethical values.