- Have you ever noticed that certain dating apps kind of resemble different investment styles?
- Remember, not all dating apps and relationship styles are right for all people, and not all investment styles are right for all investors.
Have you ever noticed that certain dating apps kind of resemble different investment styles? Now that I work at Stash, I see comparisons to investing everywhere! So today I’m taking a lighthearted look at how some of the most popular online dating apps compare with particular investing styles.
Tinder is perhaps the most recognizable dating app there is. It’s based on a swipe system. You see a picture of a person and a bit of information and then you swipe right for yes and left for no. Users often rack up lots of matches and then it is a matter of who is free when to do what. And, thus, tinder is often a game of numbers and timing. So, Tinder is kind of like day trading.
Day trading is when a trader buys and sells an asset (stock, bond, etc) within the same day. Day trading is a short-term investment strategy based on timing the market and taking advantage of minute to minute fluctuations in share prices. There’s some high potential for instant gratification, and lots of “right swipes.”
Both Tinder and day trading can be used to great effect, but are best utilized when intentions are clearly stated and there is an understanding of the risk involved.
The thing about indexes (and their corresponding index funds) is that they can be as general or as specific as you want to get, kinda like OKCupid.
“Substance, not just selfies,” and “We go below the surface to show off the real you,” are the slogans that greet you on the popular dating site OKCupid. OKCupid aims for inclusivity, offering a platform for anyone to meet anyone they are looking for. With millions of users, OKCupid allows users to get as general or as specific as they would like in their search for love and connection. Kind of like investing in index funds.
Index funds are made up of multiple investments (ex: stocks and bonds) that seek to track the performance of a particular index. An index is simply a collection of companies that have something in common. It’s sort of like your favorite playlist of folk-rock female artists from the 90s.
The thing about indexes (and their corresponding index funds) is that they can be as general or as specific as you want to get, kinda like OKCupid. Looking to invest in companies in the financial services industry? There’s an index fund for that! Looking to date a beanie wearing, bike riding, feminist who lives in Brooklyn? OKCupid can help you find that dream hipster.
Coffee Meets Bagel
Coffee Meets Bagel’s website greets you with the phrase “Meet Your Everything Bagel Today.” Coupled with a lovely picture of a snuggly, beautiful couple.
I’m still kind of unclear on if women are coffee and men are bagels, or if I’m always coffee and my matches are bagels, but what I do know is I get a certain amount of them, curated, and I get them once a day. Know what else is curated, managed, and happens once a day: Mutual funds.
Mutual funds are kind of like index funds. In fact, index funds are a specific kind of mutual fund. (Welcome to the world of finance, where the terms overlap and every detail matters.)
Mutual funds are about pooling the money of several investors and investing in different securities (again, stocks, bonds, etc). However, rather than tracking a particular index, mutual funds are actively managed by money managers, and are only traded once a day.
The League is a dating app mostly available in large metropolitan cities with high Ivy League graduate populations (Harvard, Yale, Princeton, Columbia…you get the picture). Founded by Stanford Graduate School of Business alum, Amanda Bradford, the League’s tagline is “Date. Intelligently.”
The League is an exclusive network with a long wait list. Or you can just pay for it and get in right away. It’s not claiming that Tinder and other apps can’t work, it just wants to elevate things. Kind of like, hedge funds.
Hedge funds aren’t simply trying to match the performance of the market like index funds. Instead, they are trying to beat the market. As Stash explains in What is a Hedge Fund? This is How You Copy the Experts, hedge funds are also only open to “accredited investors making more than 200k for at least the previous two years or who have a net worth of a cool $1 million, not including their home.” So, yeah: Exclusivity, high standards, high barrier of entry. The League.
Match.com is the original online dating site, founded way back in 1993. Talk about being ahead of a curve. Match.com is aiming to help people (of all generations) find true love, love that lasts a lifetime and will carry you into old age. Are you thinking what I’m thinking? Match.com sounds a lot like investing for retirement.
When you’re investing for retirement there are many factors to consider, but primary among them is investing for the long term. This isn’t an investment you are going to buy and sell in the hope of making a quick buck. Investing for retirement is about finding investments you are willing to get cozy with for a very long time, and that are hopefully going to turn around and take care of you in your old age. Kind of like that perfect match on Match.com.
Now we’re getting more specific. jDate is an online dating platform for, you guessed it, Jewish singles. Christian Mingle? Kinda the same thing for Christian folks. Looking to meet someone with the same beliefs and cultural values as yourself? Why not just grab an app that lets you cut right to that chase? When it comes to investing, this is like investing in a specific sector or industry.
Think pharmaceuticals are where the investing potential is at? You can invest in just that industry! All about the financial sector? You can invest in that! As an investor, you have the power to put your money where you want it to go, and where it will hopefully grow.
Just like the singles seeking out certain beliefs, you can invest according to yours by picking industries and sectors that match your interests and financial desires.
Okay, unless you’re a dating app aficionado, you probably haven’t heard of Hater. The website claims it’s “the first dating app that matches people on the things they hate,” and it challenges users to “meet someone who hates the same stuff.” Basically, you can match with people who hate the stuff that you hate! When you’re investing, you can set up something called exclusionary screens.
Exclusionary screens allow you to choose what you don’t want to invest in. Want to avoid certain sectors? That’s what exclusionary screens are all about. Some people chose to avoid investing in certain industries and sectors, or even companies. This can be for a number of reasons, maybe they don’t agree with a company’s ethics, or they think they won’t be profitable. Whatever the reason, some investors chose to swipe “dislike” and “hate” on certain investments. Sounds a lot like Hater to me.
If you haven’t heard of Happn, it’s all about the people you happen upon. “Find the people you’ve crossed paths with,” is how the service bills itself. Happn uses the GPS on your phone to let you know who frequents the same places you do. If you and another Happn user go to the same coffee shop, you’ll soon see that you’ve crossed paths with that cutie 3, 10, or even 45 times.
It’s a surefire way to find the singles who live in your neighborhood or work on your block, and even tells you where you last happn-ed upon each other. Sometimes investors have an interest in a particular geography as well. And you can invest in specific geographies.
Super excited about American companies? You could invest in business born and bred in the US of A. All about China’s booming economy? You could invest in that. Unlike Happn, you don’t have to be in a place to invest in it, but if you want to focus on geography, there’s an investment style, and dating app, for that.
Remember, not all dating apps and relationship styles are right for all people, and not all investment styles are right for all investors.
All this talk of investing have you ready to become an investor? There’s an app for that!
DISCLAIMER: Stash is not affiliated, associated, authorized, endorsed by, or in any way officially connected with any of the above dating sites.