Wouldn’t it be good to invest in the palm of your fingertips? Well, you can in the digital era and today we reviewed the best investment apps of 2020.
Do your coworkers or friends all talk about their investment portfolios? You’ve been meaning to get in the stock game, but how do you start if you don’t have a big wad of cash to invest?
We’ve got your answer. We put together our best investment apps of 2020, the best part is that you can start investing without risking big bucks.
The sooner you start investing, the sooner your money can start to grow toward your goals.
Here are the Best Investment Apps in 2020
- Robinhood – Best for commission-free trades
- Acorns – Best for worry-free savings
- M1 Finance – Best for expert-curated portfolios
- Fundrise– Best for real estate investing
- Wealthsimple – Best for low-fee funds
5 Best Investment Apps 2020
1. Robinhood: Best for Commission-Free Trades
How Robinhood is one of the best investing apps: The Robinhood investing app easily allows you to invest in companies you love, commission-free. And we really mean free, free to buy and sell stocks and no account minimums. Click here to sign up for free!
Open a Free Account at Robinhood
2. Acorns: Best for Worryfree Savings
How Acorns is one of the best investment apps: The Acorns app easily allows you to invest your spare change automatically. The app is free for college students or if you are under 24 years old. Join almost 4,000,000 people saving and investing every day in a portfolio based on personalized income and goals. Click here to sign up for free!
|Acorns Bonus: My Millennial Guide readers will get an extra $5 just for signing up!|
Open an Account at Acorns
(Or, click here to read a full Acorns review ↓)
Acorns is a micro-savings app similar to Digit and Qapital, but with a kick. This app saves you money but allows you to invest this money with a click of a button. Your savings can actually make you money, and you can even get started with a $5 bonus through this link.
What is Acorns?
CNBC calls it “the new millennial investing strategy.”
Once you connect the app to a debit or credit card, it rounds up your purchases to the nearest dollar and funnels your digital change into an investment account.
Sign up to try it risk-free with a $5 sign up bonus.
One feature that we love about Acorns is that the money that you’re saving is being invested. By investing your spare change, it makes it simple for you to grow wealth over time.
Acorns, and it’s an app that lets you start investing without risking big bucks.
How Does Acorns Work?
It’s pretty simple and the beautiful investing app can help you to:
- Micro-Invest automatically: Set aside spare change or extra cash as you go about your day with Round-Ups and Recurring Investments.
- Save for later: Get the easiest IRA, Acorns Later, and save for retirement without thinking about it.
- Stick with it: Sit back and let your money grow over time in diversified portfolios constructed by experts.
- Earn Found Money: The more you earn, the more you can save and invest! Grow faster the 250+ top brands that invest in you when you shop.
- Grow your knowledge: Original content right in your app helps you grow your money knowledge on the go.
- Spend Smarter (New): Pre-order the only checking account with a debit card that saves and invests for you, plus no minimum balance or overdraft fees. Qapital has this feature that is gone over in this Qapital review, but you aren’t able to earn interest or invest on your savings accumulated. This is where Acorns shines.
JOIN ACORNS AND GET $5
How Does Acorns Protect Your Information?
All of your data is protected with 256-bit encryption and never stored on your phone, tablet or computer.
You can learn about Acorn’s security measures here.
Acorns Fees and Pricing
Simple pricing: The Acorns investing app is just $1, $2, or $3 per month. No surprise fees, just surprise upgrades. For more, check out the pricing page.
Imagine if you could invest in your future without really noticing it. Sign up in under 5 minutes and join over 4,000,000 people.
START SAVING WITH ACORNS
(Or click here to learn more about Acorns → )
3. M1 Finance: Best for Expert Curated Portfolios
How M1 Finance is one of the best investment apps: The M1 Finance app is very easy to use, and is a free way to invest. Just pick your investments, and let M1’s Intelligent Automation do the rest. No fees or commissions, ever. You can get started for free here.
Open an Account at M1 FinanceGet started
(Or, click here to read a full M1 Finance review ↓)
M1 Finance Review
Combining the best of both worlds – traditional investment brokerage accounts with Robo-advisors, M1 Finance is one of the best investment apps we’ve reviewed. The only significant negatives are that it does not allow the option to invest in mutual funds or any tax-loss harvesting.
What is M1 Finance?
M1 is a free automated investing platform, charging no commissions or management fees. The platform allows users to create and automate a custom portfolio so they can invest exactly how they want and build wealth with ease. M1 empowers users to save time, earn more, and invest with confidence. You can check out the founder’s story here.
Users’ portfolios can consist of stocks, funds, Expert Pies, My Pies or any combination of the four. Expert Pies are professionally designed by the team at M1 and are made up of several stocks or funds. My Pies are similar but crafted by the individual user. Think of it like a folder on your desktop, where the portfolio is the desktop, the Pie is the folder, and the individual stocks and funds within each Pie are the files within that folder. Check out this video tutorial to learn more:
Account types offered:
- Traditional IRA
- Roth IRA
- SEP IRA
How Does M1 Finance Work?
M1 Finance empowers you to manage your money and build wealth with ease. Just create and automate your portfolio – they take care of the rest for free.
Create your portfolio
They allow you to build your portfolio of the stocks and ETFs you want, or select from dozens of expert-curated portfolios.
Automate your investing
Just add money and M1 will automatically and intelligently invest it in your personalized portfolio.
Available Investment Categories
- General Investing — This is a diversified portfolio based on your own risk tolerances.
- Plan for Retirement — This category allows you to invest for your target retirement date.
- Responsible Investing — This category provides options for the socially responsible investor.
- Income Earners — Allows you to build a portfolio based on dividends and income returns.
- Hedge Fund Followers — This actually mimics investment strategies from some of the most successful investors and reputable hedge funds.
- Industries and Sectors — Gives you access to invest in specific sectors and industries.
- Just Stocks and Bonds — Stay the course by building a diversified portfolio with two ETFs, focused on stocks and bonds.
- Other Strategies — Offers additional investment strategies to help you find what works best for you.
Key Features of M1 Finance
M1 Finance has ETFs of over two thousand that you can choose from, as well as stocks in NASDAQ or NYSE. Since they belong to SIPC, the account is protected to up to $500,000 by SIPC.
M1 Finance makes every trade daily when the NYSE is open at 9 AM Central Time. It doesn’t allow any trading outside the specified trading window.
Every dividend income gets reinvested immediately it reaches more than $10 in your portfolio.
M1 Finance allows tax reporting by being linked to TurboTax and H&R Block.
M1 Finance Referral – Promotion
M1 Finance has a great referral package that gives you $10 for every person you refer to M1 Finance. To benefit, you must have a funded account.
M1 Finance offers users free consultation with an expert, who shows them how M1 works, and how it can benefit them.
M1 Finance has been operational since 2015 and is known as a hybrid robot advisor while providing Pies (Investment Portfolio Templates) for its users.
The Pies are designed on the premise of MPT (Modern Portfolio Theory). In fact, a lot of other Robo-advisors (Betterment or Vanguard) use MPT in their algorithms. However, M1 Finance allows you to easily invest in any of its Pies or customize your investments however you choose.
M1 Finance is great for professional investors, as they can make use of pies to craft out intriguing strategies. Novices can also use the Expert Pies too to get to their investment goals.
The best part? M1 Finance automatically manages the account by maintaining the Pie’s allocations via rebalancing, as well as allocating the new contributions.
INVEST FOR FREE
Filling Your Pie
M1 allows you to choose what investments should be in the pies.
The Expert Pies can be used alone or used with custom Pies.
You can set recurring investments with M1 Finance. It allows you to place funds on your pies, while the platform works to get your portfolio rebalanced automatically.
With M1 Finance, you can easily borrow funds using your portfolio. If you have the intention of investing more money than you have, you can easily borrow about thirty-five percent of the funds in your account on M1, with an interest rate of 3.75% per annum.
M1 Finance doesn’t hold your portfolio as cash, meaning that your account is a margin account, once it has more than $2,000. With the margin account status, you can easily withdraw money without bothering with liquidating assets.
M1 Finance Pros and Cons
Opening an M1 Finance Account
- Head on over to this page and sign up for free.
- All you need is an email address to sign up.
- Get started by clicking here.
M1 Finance Alternatives
M1 Finance isn’t the only one in this space. Many investing brokers, saving apps, and robo-advisors follow their concept too. Click below to see some reviews of M1 Finance’s alternative options that you have available to you:
- Swell Investing
You can also find an article to popular stock broker promotions here.
M1 Finance seems to have a nice approach to the creation of portfolios since they claim they want to revolutionize how passive investing is done.
Combining the best of both worlds – traditional investment brokerage accounts with robo advisors, M1 Finance is one of the best investment platforms we’ve reviewed. The only significant negatives are that it does not allow the option to invest in mutual funds or any tax-loss harvesting.
START INVESTING FOR FREE NOW
(Or click here to learn more about M1 Finance → )
4. Fundrise: Best Real Estate Investing App
How Fundrise is one of the best investment apps: Fundrise is the first low-cost real estate investing app, that is simple and affordable. You can get returns of 8.7-12% annually by using it. You can now invest in large-scale real estate for as little as $500 with Fundrise.
Click here to sign up to see Fundrise’s latest investment opportunities.
Open an Account at FundriseGet started
(Or, click here to read a full Fundrise review ↓)
Wouldn’t it be great if you could invest in commercial real estate and apartments without dealing with all the hassle of buying, improving, and re-selling real estate?
You don’t have to be a millionaire to invest in these types of properties. You can now invest in large-scale real estate for as little as $500 with Fundrise.
Through their real estate investment products, investors earned an average of 8.7 – 12.4 percent on their money last year, and all without painting a wall or dealing with unruly tenants.
There is a reason why they currently have over 200,000+ users, this investing app really pays you!
If you’re interested, I recommend you sign up for more information from Fundrise by clicking here.
What is Fundrise?
Fundrise allows individuals to invest in commercial real estate online through an eREIT (Real Estate Investment Trust). Their crowdsourcing model sets them apart from a traditional REIT allowing the average investor to participate in deals for as little as $500.
The interesting thing about Fundrise is that it lets investors buy into private commercial and residential properties by pooling their assets through an investment platform. Since the eREIT is sold directly to investors cutting out middle-men, they can have fees lower than 90% of the competition.
Here are some quick facts about Fundrise:
- A diverse portfolio of private real estate deals
- Minimum investment of $500 to $1,000
- Management and advisory fees add up to about 1%
- If you’re interested, I recommend you sign up for more information from Fundrise by clicking here.
START INVESTING WITH FUNDRISE
Fundrise Fees & Features
|Property Types||Commercial, Residential, Single Family|
|Regions Served||50 States|
How Does Fundrise Work?
Don’t you wish there was someone who could assist you in making right kind of investments? Well, the real estate companies like Fundrise exist to serve that purpose only. Interestingly, Fundrise is one of those online real estate companies that let average investors make quality investments into private commercial and residential properties.
As you may realize, most of the online real estate platforms serve only the accredited investors. It means they are only available to people who have the net worth of more than $1 million, excluding the value of the houses, and/or to the people who have the annual income of $200,000 as individuals ($300,000 for a couple). However, all the current products and services at Fundrise are available to non-accredited investors as well.
Now talking about the products, the real estate investment trusts, or REITs, are the main products of this real estate company. A REIT usually invests in real estate assets that produce a significant amount of income, either through the purchase and management of buildings or by holding mortgages.
Interestingly, REITs at Fundrise do not trade on a public exchange and are highly illiquid. It means there is no assurance of buyers for those investors who are willing to sell their shares. Fundrise generally offers a redemption program, but even that comes with some limitations.
Since Fundrise is an online service provider, it focuses on the online nature of the REITs (eREITs). However, that is not the only product they offer. There are eFunds as well. They allow the investors to use their pooled money to purchase land, build housing estates and then sell it to buyers and likewise.
There are risks involved with investing in non-traded REITs. However, the benefits are also quite rewarding. Interestingly, the average annual return for the Fundrise investments in the year 2017 was 11.44% (net of fees), as per the company.
START INVESTING IN REAL ESTATE NOW
(Or click here to learn more about Fundrise → )
5. Wealthsimple: Best for Low-Fee Funds
How Wealthsimple is one of the best investment apps: Wealthsimple is the smart and simple way to invest in future you. They use a Nobel Prize-winning approach to build you a diversified portfolio of low-fee funds in minutes. Click here to sign up for free.
Open an Account at WealthsimpleGet started
(Or, click here to read a full Wealthsimple review ↓)
Investing can be fickle. Wealthsimple is aiming to make investing easy. Did they just change the game?
Robo Advisors are online, automated portfolio management services.
These companies use computer algorithms — a set of rules to choose appropriate investments based on your risk tolerance and time horizon — so that they can offer their services for a fraction of the cost of a human financial advisor.
That lower-cost management, combined with features like automatic portfolio rebalancing and tax-loss harvesting, can translate into higher net returns for investors.
A Robo Advisor is a good fit for you if you prefer to be largely hands-off with your investments — letting someone else do the work of building and optimizing your portfolio — and you don’t have the kind of complex financial situation that requires a direct relationship with a human financial advisor.
What is Wealthsimple?
Wealthsimple is an online professional investment app available in both the US and Canada, also referred to as a Robo Advisor.
They use low-cost index fees and smart technology to keep your investment costs low.
Instead of trying to beat the market they invest in the market as a whole.
This diversification allows you to avoid putting all your eggs into one stock and can smooth out your returns and minimize your losses.
A lot of people try to time the market and end up losing a lot of money.
Wealthsimple makes investing easy.
Wealthsimple Asset Classes
A well-balanced portfolio is crucial for building wealth and limiting risk. Each of Wealthsimple’s portfolios includes between 8 and 10 ETFs and each ETF represents a unique asset class:
|US Stocks||VTI||Vanguard Total US Market ETF||All|
|US Mid-Cap Value||VOE||Vanguard Mid-Cap Value ETF||All|
|US Small-Cap Value||VBR||Vanguard Small-Cap Value ETF||All|
|Foreign Stocks||VGK||Vanguard FTSE Europe ETF||All|
|Foreign Stocks (exporter & dividend tilt)||DXJ||WisdomTree Japan Hedged Equity Fund||All|
|Emerging Market Stocks||VWO||Vanguard FTSE Emerging Markets ETF||All|
|Municipal Bonds||MUB||iShares National Muni Bond ETF*||All|
|US Inflation Protected Bonds||TIP||iShares TIPS Bond||Conservative, Balanced|
|USD Govt and Corporate IG Bonds (includes EM)||BND||Vanguard Total Bond Market ETF||All|
|High Yield Bonds||ANGL||VanEck Vectors Fallen Angel High Yield Bond ETF||Conservative, Balanced|
Is Wealthsimple Safe?
Wealthsimple keeps your money safe:
- 100,000 clients trust us to manage more than $2 billion.
- State-of-the-art security, up to $500,000 SIPC protected.
- Webby Award winner for world’s best financial website.
Wealthsimple has no account minimum, which should undoubtedly attract new investors who might not have enough cash to reach higher minimums charged by some other financial advisors.
As for fees, the Robo Advisor charges 0.5% on all accounts with $100,000 or less (however, the first $5,000 is always free).
After that threshold, the account type changes to Wealthsimple Black, which has a 0.4% fee and unlocks additional features.
SIGN UP FOR WEALTHSIMPLE
WealthSimple Promo Code
Sign up now to take advantage of this offer.
Wealthsimple can build you an intelligent, personalized portfolio using a Nobel Prize-winning investment strategy.
We would recommend Wealthsimple for people who are investing for the long term.
It’s best for people who are contributing regularly to their investments (remember you should be doing some investing for your future every month) commonly known as dollar cost averaging.
This is when you are putting in money on a regular on-going basis. We are proud to recommend Wealthsimple as one of the best investment apps of 2020.
SIGN UP FOR WEALTHSIMPLE
(Or click here to learn more about Wealthsimple → )
What About Micro Investing Apps?
Micro investment platforms aim to assist everyday consumers with making a habit of saving money in a ‘painless’ way, also to attempt getting the best returns on investment in the open market.
To sum it up, they allow you to save and invest money in small amounts. These types of apps make it easier for some people to save money automatically then invest it. They typically work by connecting a credit or debit card, then a micro investing app rounds up your purchase to the dollar or makes automatic transfers for you.
Typically, the platforms provide a combination of online savings tools and trackers, investment opportunities in financial and real estate markets with no or low minimum amount requirements, also investment education, support, and advice.
Micro investing apps allow you to invest that extra cash in stocks. Most either charge fees on trades or offer free trades until your account reaches a certain amount, like $5,000. Some examples of investing apps are platforms like Acorns, Qapital, M1 Finance and Webull, or you can just see the full list here.