Is Acorns Safe?

Since 2014, over 10 million users have invested over $15 billion dollars with Acorns. Your trust means the world to us, and it’s why we want to give a clear look at everything we do to protect your account with us.

Is Acorns safe?

First and foremost, there is no promise of safety when investing in the stock market. Risk of loss versus potential returns is a key principle of investing, and a personal decision for each individual to decide how much risk they would like to expose their money to. 

As a company, Acorns mission is to look after the financial best interests of the up and coming, beginning with the empowering, proud step of micro investing. While we cannot predict the performance of the stock market, or guarantee success, we follow certain investing principles that we believe help give your money the chance to grow. 

Long-term approach

Acorns favors a long-term investment approach that encourages steady, consistent investing in a diversified portfolio. Market volatility is common and expected, on the other hand the S&P 500 has seen an average return of over 10% per year since 1972. Past performance is no guarantee of future results, but history has shown that the longer you can stay invested, the more chance your portfolio has to recover from volatility. We realize not every investor has the ability to invest for the long-term, so Acorns takes your investment time horizon into account when recommending a portfolio. 

Risk tolerance

Risk tolerance refers to the amount of risk that you, personally, can stomach with your investments. If you have a high tolerance for risk, you might be comfortable assuming much more risk than someone with a low tolerance for risk (or vice versa).

Acorns takes your risk tolerance into account, along with your age, income, and money goals to recommend an expert-built investment portfolio that fits your needs.

Diversification 

Acorns’ diversified portfolios are designed to limit volatility and attempt to reduce portfolio risk. In fact, with an Acorn Invest Account, some of our ETF portfolios offer exposure to over 7,000 different stocks & bonds — so all your eggs are not in one basket.

Acorns safety feature

Acorns makes protecting your data, privacy, and assets a top priority. Here are just a few of the tools we use to safeguard your account.

SSL encryption

The Acorns website and the Acorns app are secured with 256-bit encryption. What does that mean? Well, Secure Sockets Layer (SSL) Encryption is designed to keep your information safe in three different ways.

First, SSL Encryption uses a secret code to transmit your data from your device to our servers. If someone intercepted your data, it would just look like a jumbled mess of numbers and letters.

Second, it authenticates both your device and our servers to make sure your data is going to the right place.

And third, it verifies that your data wasn’t tampered with along the way — kind of like the plastic seal on a bottle of iced tea.

Account alerts

To help protect against fraud, Acorns will contact you about any unusual account activity.

Your information is encrypted

Acorns encrypts your information, which is verified by top digital security and privacy companies, to help protect your assets and information.

Account safeguards

Acorns utilizes other features, like multi-factor authentication, automatic logouts, and ID verification, that help prevent unauthorized access to your account.

What if Acorns Fails? 

SIPC-protected investment accounts

• Member of SIPC, which protects securities customers of its members up to $500,000 (including $250,000 for claims for cash). Explanatory brochure available upon request or at www.sipc.org.

FIDC-protected checking accounts

• Checking accounts are insured up to $250,000 per depositor through its banking partners, Lincoln Savings Bank or nbkc bank, Members FDIC.  For more information visit www.FDIC.gov. 

Ways to protect your Acorns account

There are a few small, easy steps that you can take to help keep your Acorns account secure.

Use a strong, unique password

Create a new, tough-to-crack password for your Acorns account that you don’t use for any other account. For example, randomized strings of words are much harder to crack than, say, your pet’s name. If you need help coming up with strong, unique passwords try checking out a password manager.

Turn on multi-factor authentication

When you turn on Multi-Factor Authentication, we’ll send a six-digit code to your phone or email every time you log into your Acorns account from a new device to make sure you are really you. For help turning on multi-factor authentication, tap here.

Don’t have an Acorns account? Sign up today

Ready to start investing with everything Acorns has to offer? Tap here to sign up and create your account — it only takes a few minutes!