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The 7 best investment apps for beginners<!-- wp:html --><p class="headline-regular financial-disclaimer">Insider's experts choose the best products and services to help make smart decisions with your money (<a href="https://www.businessinsider.com/personal-finance/personal-finance-editorial-standards" class="not-content-link" target="_blank" rel="noopener">here’s how</a>). In some cases, we receive a commission from our <a href="https://www.insider-inc.com/commerce-on-insider-inc" class="not-content-link" target="_blank" rel="noopener">our partners</a>, however, our opinions are our own. Terms apply to offers listed on this page.</p> <p>The best investment apps for beginners offer low fees and access to the types of accounts and investment products you care about most. The app you choose should suit your investment style and offer the tools you need (e.g., educational guides and/or courses, human advisor access, and strong customer support) to achieve your financial goals.</p> <h2>Compare the best investment apps for beginners</h2> <h2>Best overall: SoFi Invest</h2> <h3>Why SoFi made our list:</h3> <p>SoFi Invest is a top pick for beginners thanks to an easy-to-use platform paired with rock-bottom pricing. You can get started at <a href="https://www.businessinsider.com/personal-finance/sofi-invest-review">SoFi Invest</a> with just $1, and there are no commissions for trades and no recurring account fees. Even the managed portfolio product, <a href="https://www.businessinsider.com/personal-finance/sofi-automated-investing-review">SoFi automated investing</a>, where your ETFs are all picked and managed for you, is free to use.</p> <p>The app includes stocks and ETFs listed by category, making it easy to browse potential investment opportunities. It doesn't have the most in-depth investment research, but there is enough to get you started and guide your trading decisions. In addition to cryptocurrency trading (for bitcoin, ethereum, dogecoin, and more than 27 other coins), you can also access investment education articles from inside the app. Note, though, that SoFi charges a 1.25% markup on crypto transactions.</p> <p>As an added bonus outside of the app, SoFi Invest offers complimentary financial planning sessions for all members, among other benefits. You'll be able to work with certified financial planners (CFPs) who can help you reach your goals. If you are a beginner and want help putting an investment strategy together, SoFi is an ideal place to start.</p> <h3>What to look out for:</h3> <p>SoFi doesn't offer tax-loss harvesting.</p> <h2>Best overall runner-up: Ally Invest</h2> <h3>Why Ally Invest made our list:</h3> <p>Beginners often do well with simple and straightforward investment platforms. Ally Invest offers just that through its mobile app. You can trade stocks and ETFs with no commissions; mutual fund trades will incur a $9.95 commission fee. There are no recurring fees or minimum balance requirements to worry about.</p> <p>Plus, if you prefer the robo-advisor route, <a href="https://www.businessinsider.com/personal-finance/ally-invest-managed-portfolios-investing-review">Ally Invest Managed Portfolios</a> creates a personalized portfolio of ETFs for you. The account gives you the choice between four portfolios: Core, Income, Tax-optimized, and Socially Responsible. You'll just need a minimum of $100 to get started, and you won't have to worry about any advisory fees.</p> <p>The Ally app, which is also used by Ally Bank, is straightforward and easy to navigate. It doesn't have as many bells and whistles as some active trading platforms, but it has everything a beginner and most passive investors might need.</p> <h3>What to look out for:</h3> <p>Ally Invest offers wealth management services, but you'll need at least $100,000 to get started.</p> <h2>Best for automated investing: Acorns Invest</h2> <h3>Why Acorns made our list:</h3> <p>Acorns Invest is an investment app for people who know they should be investing but don't have or want to spend the time to manage it themselves. For $3 per month, Acorns will take care of everything. That includes automatic spare change investing through transaction round-ups, automated transfers, retirement account saving, banking perks, and a fully automated investment plan.</p> <p>And for both of its pricing plans, Acorns Personal and Acorns Family, the platform invests your money into a diversified portfolio of ETFs.</p> <p>The big upside of Acorns is that it's so easy to use. The big downside is that there's a fee no matter what. This is arguably better than asset-based fee deductions which fluctuate as your balance grows. With the monthly fee, you'll pay the same amount every year. For additional accounts and features, including investment accounts for children, you'll have to pay $5 per month.</p> <h3>What to look out for:</h3> <p>You won't be able to choose individual investments with Acorns.</p> <h2>Best for active trading: TD Ameritrade investment account</h2> <h3>Why TD Ameritrade made our list:</h3> <p>If you are new to the markets and plan to get into active trading, TD Ameritrade investment account is a good place to start. It charges no commissions for stock or ETF trades and offers multiple account platforms that align with various investment styles and goals.</p> <p>When you're starting out, you'll probably feel most comfortable in the main TD Ameritrade app. As your investment skills grow, you can upgrade to thinkorswim, the premier active trading platform from TD Ameritrade. It has tons of useful features for active traders. Important for beginners, there's a feature to chat with an expert trader inside of thinkorswim.</p> <h3>What to look out for:</h3> <p>Important to note: <a href="https://www.businessinsider.com/personal-finance/charles-schwab-brokerage-account-review" target="_blank" rel="noopener">Charles Schwab</a> acquired TD Ameritrade investment account in 2020. However, Schwab has announced it plans to keep TD Ameritrade's thinkorswim in its product lineup going forward. TD Ameritrade's managed accounts (Essential Portfolios, Selective Portfolios, and Personalized Portfolios) are also no longer available to new clients, but prospective investors can alternatively invest in managed accounts through its partner, Charles Schwab.</p> <h2>Best for social investing: Public</h2> <h3>Why Public.com made our list:</h3> <p>When you're a beginner in the stock market, it can feel intimidating to research and choose stocks and other investments on your own. Public combines features from social networks like Facebook and Twitter with traditional brokerage features. That makes for an investment app ideal for beginners learning their way around the markets.</p> <p>Not only can you learn from the portfolios of other experts by following their posts in the Public feed, you can also create group chats with other users and participate in live investing events and conversations. Plus, you can invest in more than 25 cryptocurrencies, including <a href="https://www.businessinsider.com/personal-finance/best-crypto-bitcoin-exchanges">bitcoin</a>, <a href="https://www.businessinsider.com/personal-finance/best-dogecoin-cryptocurrency-apps">dogecoin</a>, and ethereum. However, you'll incur a 1% or 2% markup for each crypto transaction (note that crypto trading isn't available to New York, Guam, or US Virgin Islands residents).</p> <p>With fractional shares starting at $5, you can also buy into a huge number of supported companies without putting up enough cash for a full share. Public also recently launched alternative assets on its platform, so you can now exchange art, NFTs, collectibles, and more for 2.5% per transaction.</p> <h3>What to look out for:</h3> <p>While it doesn't offer every popular type of investment, it covers stocks and ETFs in a way that's great for newer investors or even experienced investors looking to improve their investment strategy.</p> <h2>Best for no commissions: Robinhood</h2> <h3>Why Robinhood made our list:</h3> <p>Robinhood is a pioneer in the no-commission brokerage model. It remains a solid choice for beginners, as they can invest in stocks, ETFs, options, and cryptocurrencies with zero commissions. Typical stock and ETF investors will be able to use Robinhood with no costs at all, though premium accounts are available with more features for a monthly fee starting at $5.</p> <p>Plus, Robinhood offers commission-free cryptocurrency trading for several digital assets. Among these are bitcoin, ethereum, dogecoin, litecoin, Robinhood<a href="https://affiliate.insider.com/?u=https%3A%2F%2Frobinhood.com%2Fus%2Fen%2Fsupport%2Farticles%2Fcommission-free-cryptocurrency-investing%2F" target="_blank" rel="noopener"></a>.</p> <h3>What to look out for:</h3> <p>Robinhood has a history of controversies over downtime and how some users have been able to enter extremely risky trades that they didn't understand. As with any investment app, it's important for Robinhood traders to understand the risks of what they're doing so they can invest in line with their goals and avoid unexpected losses.</p> <h2>Best for kids: Stockpile</h2> <h3>Why Stockpile made our list:</h3> <p>Stockpile also offers commission-free stock and ETF trades, and it provides some unique features that complement its $o commission fee structure. The platform also recently launched crypto investing. Plus, Stockpile allows fractional share investing and supports the gift of stock through gift cards, which makes it perfect for the youngest investors.</p> <p>If you are a parent, grandparent, aunt, uncle, or another relative who wants to help a child in your life learn how the stock market works, Stockpile is perfect for your needs. It makes it easy to gift stock and keep tabs on the account of a minor. It also makes it fun to navigate through supported stocks while educating users through "mini-lessons" that teach how to invest.</p> <h3>What to look out for:</h3> <p>Stockpile only offers stocks, ETFs, and crypto, so you'll need to consider other platforms if you'd like to invest in additional asset types.</p> <h2>Other apps we considered</h2> <p><strong><a href="https://www.businessinsider.com/personal-finance/webull-investing-review">Webull</a>: </strong>Webull is a newer commission-free investment platform. It may be a little more challenging for some newer investors to navigate but offers excellent pricing and investment tools.<strong>Firstrade: </strong>Firstrade's web and desktop investment apps feel a little lower-tech, but its mobile app is simple and easy to navigate. It offers excellent pricing including commission-free mutual fund trades.<strong>investment account: </strong>Stash is great for newer investors looking to learn how to invest and build the right mindset, but monthly $1 to $9 fees make it less appealing.<strong>Blooom Automated Investing</strong>: Blooom is a great option for investors who want to automate retirement accounts such as employer-sponsored plans and IRAs. Something to consider, though, is that it doesn't support taxable brokerage accounts and your yearly fees will range from $120 to $395.</p> <h2>How we determined the winners</h2> <p>For beginners, it's important to choose an investment app that combines low costs with the features you care about most. Whether you're looking to build a passive portfolio of funds, <a href="https://www.businessinsider.com/personal-finance/best-stock-trading-apps">an active portfolio of stocks</a>, or any other investment strategy, there's a brokerage and investment app designed to meet your needs.</p> <p>To make our selections, we focused on costs and fees, app features, types of accounts available, investment products available, and beginner-friendly features to manage your investment account on the go.</p> <h2>Frequently asked questions</h2> <h3 class="faq-question">What are brokerage accounts?</h3> <p class="faq-answer">Brokerage accounts are a type of account where you can store cash and investments — to use an investment app, you'll fund <a href="https://www.businessinsider.com/personal-finance/best-online-brokers-for-free-stock-trading">a brokerage account</a>. With a brokerage, you can fund your account with cash and use that cash to buy and sell stocks, bonds, funds, and other investments supported by your brokerage.</p> <p class="faq-answer">Every brokerage has its own core features and pricing, so there is no perfect brokerage for everyone. However, anyone can find a brokerage that's a good fit for their needs.</p> <h3 class="faq-question">How do brokerage accounts work?</h3> <p class="faq-answer">Brokerage accounts work like checking accounts at <a href="https://www.businessinsider.com/personal-finance/best-national-banks">a traditional bank</a> in many ways. In fact, many brokerages offer checkbooks for brokerage accounts if you want one. You can add and remove funds similar to a bank, though certain types of retirement and other tax-advantaged accounts have rules around withdrawals.</p> <p class="faq-answer">Brokerages in the United States are regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). Accounts may lose value, but assets are insured by the Securities Investor Protection Corporation (SIPC) in case your brokerage goes out of business.</p> <h3 class="faq-question">Who should use a brokerage account?</h3> <p class="faq-answer">Just about every single person in the US could benefit from a brokerage account. As long as you have <a href="https://www.businessinsider.com/personal-finance/what-is-high-interest-debt">high-interest debts</a> paid off, putting a portion of your income into investments is a wise long-term decision.</p> <p class="faq-answer">Most brokers on this list have no recurring fees and no minimum balance. You can often get started with as little as $5 to buy your first stock or ETF.</p> <h3 class="faq-question">How much should a brokerage account cost?</h3> <p class="faq-answer">Brokerage accounts should be free! The best brokerages charge no recurring fees and have no minimum balance or activity requirements to avoid a monthly service fee.</p> <p class="faq-answer">In addition, most brokerages have dropped fees for stock and ETF trades, so you shouldn't pay any commissions for those types of trades.</p> <h3 class="faq-question">How do I choose an online brokerage?</h3> <p class="faq-answer">Your choice <a href="https://www.businessinsider.com/personal-finance/best-online-brokerage">for online brokerage</a> and investing apps should come down to your investment goals. If you are interested in active investing, you would want a different platform than passive investors. But in any case, it's important to review fees to make sure you're not paying for anything you plan to do regularly.</p> <p class="faq-answer">If an app supports the types of accounts you need and the types of investments you want on a platform you enjoy using, you've likely found a winner.</p> <div class="read-original">Read the original article on <a href="https://www.businessinsider.com/personal-finance/best-investment-apps-for-beginners">Business Insider</a></div><!-- /wp:html -->

Insider’s experts choose the best products and services to help make smart decisions with your money (here’s how). In some cases, we receive a commission from our our partners, however, our opinions are our own. Terms apply to offers listed on this page.

The best investment apps for beginners offer low fees and access to the types of accounts and investment products you care about most. The app you choose should suit your investment style and offer the tools you need (e.g., educational guides and/or courses, human advisor access, and strong customer support) to achieve your financial goals.

Compare the best investment apps for beginners

Best overall: SoFi Invest

Why SoFi made our list:

SoFi Invest is a top pick for beginners thanks to an easy-to-use platform paired with rock-bottom pricing. You can get started at SoFi Invest with just $1, and there are no commissions for trades and no recurring account fees. Even the managed portfolio product, SoFi automated investing, where your ETFs are all picked and managed for you, is free to use.

The app includes stocks and ETFs listed by category, making it easy to browse potential investment opportunities. It doesn’t have the most in-depth investment research, but there is enough to get you started and guide your trading decisions. In addition to cryptocurrency trading (for bitcoin, ethereum, dogecoin, and more than 27 other coins), you can also access investment education articles from inside the app. Note, though, that SoFi charges a 1.25% markup on crypto transactions.

As an added bonus outside of the app, SoFi Invest offers complimentary financial planning sessions for all members, among other benefits. You’ll be able to work with certified financial planners (CFPs) who can help you reach your goals. If you are a beginner and want help putting an investment strategy together, SoFi is an ideal place to start.

What to look out for:

SoFi doesn’t offer tax-loss harvesting.

Best overall runner-up: Ally Invest

Why Ally Invest made our list:

Beginners often do well with simple and straightforward investment platforms. Ally Invest offers just that through its mobile app. You can trade stocks and ETFs with no commissions; mutual fund trades will incur a $9.95 commission fee. There are no recurring fees or minimum balance requirements to worry about.

Plus, if you prefer the robo-advisor route, Ally Invest Managed Portfolios creates a personalized portfolio of ETFs for you. The account gives you the choice between four portfolios: Core, Income, Tax-optimized, and Socially Responsible. You’ll just need a minimum of $100 to get started, and you won’t have to worry about any advisory fees.

The Ally app, which is also used by Ally Bank, is straightforward and easy to navigate. It doesn’t have as many bells and whistles as some active trading platforms, but it has everything a beginner and most passive investors might need.

What to look out for:

Ally Invest offers wealth management services, but you’ll need at least $100,000 to get started.

Best for automated investing: Acorns Invest

Why Acorns made our list:

Acorns Invest is an investment app for people who know they should be investing but don’t have or want to spend the time to manage it themselves. For $3 per month, Acorns will take care of everything. That includes automatic spare change investing through transaction round-ups, automated transfers, retirement account saving, banking perks, and a fully automated investment plan.

And for both of its pricing plans, Acorns Personal and Acorns Family, the platform invests your money into a diversified portfolio of ETFs.

The big upside of Acorns is that it’s so easy to use. The big downside is that there’s a fee no matter what. This is arguably better than asset-based fee deductions which fluctuate as your balance grows. With the monthly fee, you’ll pay the same amount every year. For additional accounts and features, including investment accounts for children, you’ll have to pay $5 per month.

What to look out for:

You won’t be able to choose individual investments with Acorns.

Best for active trading: TD Ameritrade investment account

Why TD Ameritrade made our list:

If you are new to the markets and plan to get into active trading, TD Ameritrade investment account is a good place to start. It charges no commissions for stock or ETF trades and offers multiple account platforms that align with various investment styles and goals.

When you’re starting out, you’ll probably feel most comfortable in the main TD Ameritrade app. As your investment skills grow, you can upgrade to thinkorswim, the premier active trading platform from TD Ameritrade. It has tons of useful features for active traders. Important for beginners, there’s a feature to chat with an expert trader inside of thinkorswim.

What to look out for:

Important to note: Charles Schwab acquired TD Ameritrade investment account in 2020. However, Schwab has announced it plans to keep TD Ameritrade’s thinkorswim in its product lineup going forward. TD Ameritrade’s managed accounts (Essential Portfolios, Selective Portfolios, and Personalized Portfolios) are also no longer available to new clients, but prospective investors can alternatively invest in managed accounts through its partner, Charles Schwab.

Best for social investing: Public

Why Public.com made our list:

When you’re a beginner in the stock market, it can feel intimidating to research and choose stocks and other investments on your own. Public combines features from social networks like Facebook and Twitter with traditional brokerage features. That makes for an investment app ideal for beginners learning their way around the markets.

Not only can you learn from the portfolios of other experts by following their posts in the Public feed, you can also create group chats with other users and participate in live investing events and conversations. Plus, you can invest in more than 25 cryptocurrencies, including bitcoin, dogecoin, and ethereum. However, you’ll incur a 1% or 2% markup for each crypto transaction (note that crypto trading isn’t available to New York, Guam, or US Virgin Islands residents).

With fractional shares starting at $5, you can also buy into a huge number of supported companies without putting up enough cash for a full share. Public also recently launched alternative assets on its platform, so you can now exchange art, NFTs, collectibles, and more for 2.5% per transaction.

What to look out for:

While it doesn’t offer every popular type of investment, it covers stocks and ETFs in a way that’s great for newer investors or even experienced investors looking to improve their investment strategy.

Best for no commissions: Robinhood

Why Robinhood made our list:

Robinhood is a pioneer in the no-commission brokerage model. It remains a solid choice for beginners, as they can invest in stocks, ETFs, options, and cryptocurrencies with zero commissions. Typical stock and ETF investors will be able to use Robinhood with no costs at all, though premium accounts are available with more features for a monthly fee starting at $5.

Plus, Robinhood offers commission-free cryptocurrency trading for several digital assets. Among these are bitcoin, ethereum, dogecoin, litecoin, Robinhood.

What to look out for:

Robinhood has a history of controversies over downtime and how some users have been able to enter extremely risky trades that they didn’t understand. As with any investment app, it’s important for Robinhood traders to understand the risks of what they’re doing so they can invest in line with their goals and avoid unexpected losses.

Best for kids: Stockpile

Why Stockpile made our list:

Stockpile also offers commission-free stock and ETF trades, and it provides some unique features that complement its $o commission fee structure. The platform also recently launched crypto investing. Plus, Stockpile allows fractional share investing and supports the gift of stock through gift cards, which makes it perfect for the youngest investors.

If you are a parent, grandparent, aunt, uncle, or another relative who wants to help a child in your life learn how the stock market works, Stockpile is perfect for your needs. It makes it easy to gift stock and keep tabs on the account of a minor. It also makes it fun to navigate through supported stocks while educating users through “mini-lessons” that teach how to invest.

What to look out for:

Stockpile only offers stocks, ETFs, and crypto, so you’ll need to consider other platforms if you’d like to invest in additional asset types.

Other apps we considered

Webull: Webull is a newer commission-free investment platform. It may be a little more challenging for some newer investors to navigate but offers excellent pricing and investment tools.Firstrade: Firstrade’s web and desktop investment apps feel a little lower-tech, but its mobile app is simple and easy to navigate. It offers excellent pricing including commission-free mutual fund trades.investment account: Stash is great for newer investors looking to learn how to invest and build the right mindset, but monthly $1 to $9 fees make it less appealing.Blooom Automated Investing: Blooom is a great option for investors who want to automate retirement accounts such as employer-sponsored plans and IRAs. Something to consider, though, is that it doesn’t support taxable brokerage accounts and your yearly fees will range from $120 to $395.

How we determined the winners

For beginners, it’s important to choose an investment app that combines low costs with the features you care about most. Whether you’re looking to build a passive portfolio of funds, an active portfolio of stocks, or any other investment strategy, there’s a brokerage and investment app designed to meet your needs.

To make our selections, we focused on costs and fees, app features, types of accounts available, investment products available, and beginner-friendly features to manage your investment account on the go.

Frequently asked questions

What are brokerage accounts?

Brokerage accounts are a type of account where you can store cash and investments — to use an investment app, you’ll fund a brokerage account. With a brokerage, you can fund your account with cash and use that cash to buy and sell stocks, bonds, funds, and other investments supported by your brokerage.

Every brokerage has its own core features and pricing, so there is no perfect brokerage for everyone. However, anyone can find a brokerage that’s a good fit for their needs.

How do brokerage accounts work?

Brokerage accounts work like checking accounts at a traditional bank in many ways. In fact, many brokerages offer checkbooks for brokerage accounts if you want one. You can add and remove funds similar to a bank, though certain types of retirement and other tax-advantaged accounts have rules around withdrawals.

Brokerages in the United States are regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). Accounts may lose value, but assets are insured by the Securities Investor Protection Corporation (SIPC) in case your brokerage goes out of business.

Who should use a brokerage account?

Just about every single person in the US could benefit from a brokerage account. As long as you have high-interest debts paid off, putting a portion of your income into investments is a wise long-term decision.

Most brokers on this list have no recurring fees and no minimum balance. You can often get started with as little as $5 to buy your first stock or ETF.

How much should a brokerage account cost?

Brokerage accounts should be free! The best brokerages charge no recurring fees and have no minimum balance or activity requirements to avoid a monthly service fee.

In addition, most brokerages have dropped fees for stock and ETF trades, so you shouldn’t pay any commissions for those types of trades.

How do I choose an online brokerage?

Your choice for online brokerage and investing apps should come down to your investment goals. If you are interested in active investing, you would want a different platform than passive investors. But in any case, it’s important to review fees to make sure you’re not paying for anything you plan to do regularly.

If an app supports the types of accounts you need and the types of investments you want on a platform you enjoy using, you’ve likely found a winner.

Read the original article on Business Insider

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