- Wealthfront Invest is a robo-advisor with automated investment management and provides holistic financial advice based on the Modern Portfolio Theory (MPT).
- With their automated investing services, you can have individual and joint non-retirement accounts, Roth, traditional, SEP, and rollover IRAs, trusts, and 529 Plans.
- Fees – low advisory fee, low fund fees, no trading commissions, withdrawal fees, minimum fees, or transfer fee.
- Personal Capital Wealth is a fee-based service that incorporates online financial tools with access to investment advisory and actively managed by financial advisors.
- Fees are all-inclusive for investments includes Tax Optimization, proprietary Smart Weighting strategy, and Dynamic Portfolio Allocation.
- Prosper Invest provides investors direct, low-cost access to high-yield consumer loans from creditworthy borrowers.
- A simple process that begins when a borrower applies for a loan and meets Prosper’s underwriting guidelines such as credit history and employment.
- Invest differently and diversify your investment portfolio beyond traditional stocks, ETFs, and bonds with as little as $25 per Note.
- TD Ameritrade is an online brokerage for stock trading and investing in common stock, preferred stocks, bonds, mutual funds, exchange-traded funds (ETFs), and options.
- Accounts offer tax-loss harvesting and four trading platforms for beginners and veteran investors.
- Access to advanced mobile trading applications through phone, tablet, or Apple Watch.
- No minimum deposit to open an account and $0 commission-fee trades.
- Ally Invest is an online brokerage account to perform trades in stocks, bonds, ETFs, mutual funds, and options.
- Get Live news and streaming quotes available across multiple devices with market stats, metrics, and insights into individual companies.
- $0 commission-free trades with no minimums.
- SoFi Active Investing allows you to buy and sell stocks at no cost with no account minimums.
- Buy fractional shares that let you own a part of a stock from your favorite companies.
- Anyone can be a smarter investor with news updates and more—all in the SoFi app.
- Betterment Invest takes sophisticated investing strategies and makes them better with personalized guidance and tax-smart technology.
- A robo-advisor using the investment philosophy on modern portfolio theory with no minimum deposit required.
- Automates tax-saving strategies like asset location and tax loss harvesting that work to help make the most of your investments behind the scenes.
What is investing?
Investing is the act of committing money to an endeavor with the expectation of earning additional income or profit. There are a number of ways you can invest such as stocks, bonds, index funds, mutual funds, real estate, or your own business. There are many pros and cons to investing but depending on your risk tolerance one may be a better fit for you. Learn more about the basics of investing.
Investment Account Types
Probably the two most common types of investment accounts are retirement accounts in the form of either IRAs or variations of the 401k and traditional brokerage accounts. But there are a few others that can be used for specified purposes.
How to Find Best Investing Apps
Your portfolio is basically the total amount of investments you have in one or more investment account. To get started with a portfolio, answer the following three questions:
1. What kind of investment account do you want to open?
2. Where do you plan to open that account?
3. How much risk can you handle?
Each type of investment account, whether it’s a 401k plan, IRA, standard brokerage account, college savings 529 plan, or health savings account (HSA) will have its advantages and disadvantages.
Where you open your investment account matters because different brokerages will require different investment minimums, charge different fees, and allow for different investments in the account.
You also need to know how much risk you can handle because stocks, bonds, mutual funds, ETFs, and other securities have different risks associated with market movements.
What are Discount Online Brokerages?
A discount online brokerage is often associated with companies like Charles Schwab and Ally Invest. A discount broker is a stockbroker that performs buy and sell orders at a reduced commission rate.
Most discount brokers operate using online platforms and mobile apps without the need to directly engage with a stockbroker.
Recently, most stock trading is now commission-free offered by the likes of Robinhood (who started the trend).
What are Micro-investing Apps?
Micro-investing apps help people accumulate investments in a small incremental way. Some apps allow investors to start with as little as $1 to buy a fraction of shares or ETFs (exchange-traded funds). The goal behind micro-investing is to open the stock market to people who may not have hundreds or thousands of dollars to get started.
What are Robo Advisors?
A robo-advisor is distinct from the other platform as it offers guided advice through an investment philosophy and proprietary algorithms.
A robo-advisor app gives smaller investors access to advisory services that were typically only offered to high net-worth individuals. These platforms offer you the opportunity to invest smaller amounts and pay lower fees compared to traditional investment advisors.