Author: Carter Johnson
If you’re new to investing, figuring out where to start and how to maximize your returns might be challenging. Most new investors start buying individual stocks, but without experience, it’ll be tough to choose your investments correctly.
However, there are some applications that new investors can use to gain some experience. The best investment apps for beginners provide low fees and access to the accounts and investment products that are important to you.
As a result, the app you select should match your investment style and provide educational resources, excellent customer service, and access to an advisor to assist you in reaching your objectives.
Here are five investment apps we believe you should look into as a beginner!
1. Robinhood
Robinhood is a popular investment app for beginners because it provides a wide range of investment options for their portfolios, including stocks, exchange-traded funds (ETFs), and cryptocurrency. It also uses a no-commission brokerage model, meaning you will not be charged any fees to execute transactions.
Another feature that distinguishes this app is that it provides a margin account for new investors to borrow money from the broker to purchase ETFs or stocks. It also gives you a higher purchasing power and allows you to trade other financial products like options or futures.
Robinhood launched retirement accounts for its mobile apps on December 6th. These accounts will have no trading commissions, recommended portfolios, and a 1% match on all contributions to Roth and traditional IRAs. As a result, if you’re looking to invest for your retirement, this platform is worth considering.
2. Acorns
Acorns help beginners who do not have the time to manage their own portfolios to simplify the investing process. Users can pay a $3 fee and let Acorns control everything. The platform also includes automatic spare change investing, which allows users to incorporate investing into their spending habits by rounding up transactions.
Acorns also has Personal and Family pricing models, with the Personal package costing around $3 per month and the Family plan costing $5. However, the primary distinction between these two plans is that the Family package includes investment for your children.
While the app is simple to use, new investors may be put off by the lack of educational tools for selecting investments. Another drawback is that it charges fees for each transaction, and users may be unable to select individual investments.
3. So-Fi Invest
So-Fi is popular among new investors because of its simple interface and low pricing; you can start investing with as little as a dollar. Also, the platform has no recurring fees or commissions on trades.
Users who require assistance managing their portfolios should consider So-Fi’s Automated Investing. So-Fi will assist you in selecting and managing your ETFs at no cost with this feature.
While the app allows users to browse potential investment opportunities, it lacks in-depth research tools to assist users in making informed decisions and only provides basic guides. Furthermore, So-Fi allows users to invest in cryptocurrency but charges a 1.25% fee on each transaction.
4. Stash
Stash is an excellent place to start learning how to invest as a beginner. It provides users with an ideal blend of educational content and games to facilitate learning. You can also tailor your investment objectives based on what you want to focus on, and Stash will keep track of your progress.
The app also allows users to work with value-based investment options and provides portfolio recommendations. You can also start investing in ETFs and stocks on Stash with as little as $5. However, users may be required to pay between $1 and $9 to gain access to the platform.
5. Ally Invest
Ally Invest is one of the best platforms for beginners who are interested in stocks and bonds and require a simple platform. Users can trade EFTs and stocks without paying a commission, but mutual fund trades cost $9.95. However, the platform has no recurring fees and no minimum balance requirement.
The app also includes a Robo-advisor feature that creates a personalized EFT portfolio for you. The account provides users with four portfolio options: tax-advantaged, income-oriented, socially responsible, and core. You’ll need around $100 to start with Ally Invest Robo portfolios, and there are no additional advisory fees.
Key Takeaway
Many investment apps are available for new investors, but make sure you choose one that will help you grow your portfolio without overwhelming you. As a result, look for an app that is simple to use, has a great user experience and interface provides educational and research tools, and aligns with your investment objectives. This article lists the best investment apps for beginners, including Robinhood, So-Fi Invest, Stash, and others.