The 6 Best Investment Apps of November 2023 (2024)

Picking the best investment app can be a tough decision. After all, there are a lot to choose from.

From micro-investing mobile apps that buy fractional shares with your spare change to active trading platforms equipped with advanced trading tools and market commentary, there’s an investment app for every skill set and budget.

Each of our top picks offer $0 account minimums, low account fees, retirement accounts and educational resources.

All of these apps are good for beginners, but some offer users more control, customization and investment selection than others.

When choosing an investment app, it’s important to consider if you want a passive portfolio or a self-directed portfolio.

The first manages your investments day-to-day for you. The second puts you in the driver’s seat: You’re responsible for picking and managing your own investments — and gauging your personal risk tolerance.

We tend to favor robo-advisors because they’re affordable, easy to use and don’t require much ongoing maintenance.

Below, you’ll find our full list of the best investment apps along with answers to frequently asked questions and insight from financial experts about how to pick the right investment app for you.

The 6 Best Investment Apps

• Best for passive, automated investing: Betterment Digital
• Best for new investors: Stash
• Best for frequent and active traders: E*TRADE
• Best for access to real life financial advisors: SoFi Active Investing
• Best for low cost investment management: Fidelity Go
• Best for intermediate investors: Webull

How Much Money Should You Invest?

The good news is that you can invest almost any amount you want considering many brokerages offer low or no investment minimums (including the ones on our list). As in, if you can’t afford to put a good chunk of your paycheck just yet, you don’t have to — the important step is to start.

Given that, many experts recommend investing at least 10% to 15% of your income. For example, if you make $45,000 per year, your goal would be to invest at least $4,500 to $6,750 annually.

However, this common rule of thumb isn’t always the best fit for everyone. You can invest more or less depending on your goals and whether you have the financial means. That means you need to have enough to pay off existing debts, set aside money towards an emergency fund, other short-term savings goals, and your daily expenses before increasing the amount you put into investments.

If you have an employer-sponsored plan such as a 401(k), it might be a good idea to start there and aim for that 10% to 15%. Depending on your plan, your employer should match a percentage of your contributions — think of this as “free” money and part of the perks of the job.

Don’t fret if you think that you’re not doing enough. Investing is meant to be a long-term endeavor, so think of it as a marathon, not a sprint. If you find it hard to stay motivated, plenty of robo advisors or investment apps have tools to help you visualize your financial goals.

For instance, Betterment has visual tools to show you things like projected retirement savings for certain time horizons, and you can even play around with how much that amount can go up if you invest different amounts. Being able to estimate how much you’ll have for retirement may be a great motivator to invest more or more often.

What Assets Can You Trade on an Investment App?

You can invest in virtually all types of securities on an investment app.

These include:

• Stocks (domestic and international)
• Bonds (domestic and international)
• ETFs
• Mutual funds
• Forex
• Options contracts
• Futures
• Cryptocurrency

Although you have plenty of options, the types of assets you can trade will depend on the brokerage account you use. Before opening an investment account, check to see what types of assets you can invest to ensure the types you want are available.

In addition to the types of securities you can invest in, don’t forget to check the account types. For example, do you want an IRA or taxable account? What about the option to open an investment account for your children or grandchildren?

Understanding what you want in an investment account is key because it’ll ensure you find a good fit for your financial goals. Taking the time to do your research (including looking at the ones on our list) is well worth the effort.

Frequently Asked Questions (FAQs) About Investing Apps

There are a lot of questions about investing apps and we’ve answered some of the most commonly asked so you can decide if this is the right move for you.

Expert Advice on Choosing the Best Investment App for You

We asked two financial experts at The Penny Hoarder what they had to say about investment apps.

What Are the Biggest Benefits of Using an Investment App?

Molly Moorhead, Certified Financial Planner:

Apps bring investing and financial planning to the place where you manage so much else of your life nowadays: your phone. If you’ve put off opening an IRA or becoming more educated before investing real money, all the tools and information you need are in your hands.

Robin Hartill, Certified Financial Planner:

Many investment apps make it easier than ever for beginners to get started. Some apps will let you buy fractional shares — which allow you to invest as little as $1 in top stocks — rather than saving up hundreds or even thousands of dollars for a full share.

Others will round up your purchases and let you invest the spare change.

Another benefit is that you can get an instant snapshot of how your investments are performing.

What Are the Drawbacks of Using an Investing App?

Molly Moorhead, CFP:

If you’re inclined to check your 401(k) every day or watch how a stock you bought is doing, investment apps can exacerbate that habit.

The vast majority of us don’t need to follow the markets every day, and we definitely don’t need to buy or sell investments based on short-term movements.

We’re in it for the long haul, so don’t let whatever app you choose become a temptation to make hasty investment choices.

Robin Hartill, CFP:

If you’re prone to panicking after the stock market has a bad day, an investment app may not be the best choice.

Likewise, if you’re an impulse buyer, be careful with investment apps. Long-term investing is what builds wealth.

Also, some apps have substantial fees that may not look like a lot. But if you invested $100 in a lump sum and your app charges a $1 monthly fee, that amounts to a 12% annual investment fee.

How Can I Learn More About the Investment Choices an App Offers?

Molly Moorhead, CFP:

Most apps will steer you toward stock ETFs. By purchasing shares in these funds, you’ll own small pieces of many different companies across an array of sectors.

If you’re curious, log into your investment account, find the stock symbol for the companies in the fund and check out their historical performance.

You’ll find that they likely all have ups and downs, but because your money is spread across multiple industries, no single company’s stock will hurt you much if it drops.

Robin Hartill, CFP:

Look at online reviews to see whether users are satisfied with their investment choices and whether there are any limitations.

Once you find an investment you’re interested in, do your homework.

If it’s an individual stock, you need to understand how the company makes money and why you think it can be profitable in the future.

Most people don’t need a ton of investment options. An S&P 500 index fund is one of the most surefire ways to build wealth over time.

How Much Money Can You Make with Investing Apps?

Molly Moorhead, CFP:

To state the obvious, it depends how much you invest.

Micro-investing apps that let you round up the change on your purchases and invest that money for you won’t make you rich.

But if you can set aside a fixed amount of money every month to automatically invest in a diversified portfolio, your money will grow over time and provide you with a nice nest egg.

Robin Hartill, CFP:

Of course, your returns depend on how much you invest and what you invest in.

But keep in mind: Past results don’t guarantee future returns. Just because people made huge returns using an app to invest in an obscure crypto or hot stock doesn’t mean you should expect the same result.

Rachel Christian is a Certified Educator in Personal Finance and a senior writer for The Penny Hoarder. Freelance writers Sarah Li-Cain and Adam Palasciano contributed to this report.