馃攳
3 Best Investing Apps For Beginners in 2021 - YouTube
Channel: unknown
[0]
- Today we're covering
[1]
the best investing apps for beginners.
[2]
We'll go over the pros and cons
[3]
of the most user-friendly apps
[5]
for new investors and
really help you decide,
[7]
which is the best investing
[8]
app for you.
[9]
(upbeat music)
[13]
Hey, welcome back guys.
[14]
This is Erik of EverydayInvesting.com
[16]
where I'm all about helping
the everyday investor
[18]
get started saving and investing.
[20]
Today I am going over some of my top picks
[22]
for new investors.
[23]
Some of the best
[24]
user-friendly investing apps.
[25]
They give you the best
mobile friendly interface,
[27]
as well as the best
overall user experience.
[30]
Now, I completely understand
if you're new to investing,
[32]
how it can be overwhelming at first.
[33]
And that's why I want
to go over some of the
[35]
investing apps that helped me get started.
[37]
I want to share those with you,
[38]
so they can maybe help
you get started investing
[40]
in the stock market as well.
[42]
Now, if at any point of today's video,
[43]
you do want to jump ahead or jump back
[45]
to any particular investing
app we're covering today.
[47]
I will be sure to include
timestamps down below
[49]
in the description box,
[50]
as well as links to my
full in-depth review
[52]
on every single investing app
[53]
we're covering today.
[55]
And before we hop into today's
three best investing apps
[57]
for new investors,
[58]
be sure to stay tuned
until the end of the video
[60]
where I'll also go over
[61]
the three best stock
market trading apps for
[63]
new stock traders as well.
[65]
Now, the first investing app
on our list for new investors
[67]
is the
[68]
Acorns investing app,
[69]
and Acorns is by far
[70]
the simplest investing
app to get started with
[72]
because of it's user-friendly
mobile interface,
[74]
and they have several built
in educational resources
[77]
built directly into the app.
[79]
The cool thing with Acorns guys
[81]
is that you can get started
investing in the stock market,
[82]
get started investing with as little
[84]
as $5.
[85]
Now, one of the things
[86]
I really like about the
Acorns app for new investors,
[88]
is that they do have several
investing automation tools
[91]
built directly into the app.
[92]
And these investing automation tools
[94]
are really helpful for building consistent
[96]
and positive investing habits.
[98]
And I can tell you as a new investor,
[99]
that is definitely probably
the biggest challenge
[101]
when it comes to a new
investor to the stock market.
[104]
So a couple of the
automation tools available
[106]
on Acorns guys are Round- Ups.
[108]
Now this is an awesome feature
on Acorns where basically,
[111]
you can link any credit or
debit card to your Acorns app,
[113]
and Acorns will round up the spare change
[116]
from your everyday purchases
to the nearest dollar
[118]
and invest that spare change for you,
[119]
right into your Acorns
investment portfolio.
[122]
In addition to Round-Ups,
[123]
Acorns does also offer the ability
[125]
to set up recurring
deposits from your bank
[127]
directly into your Acorns app,
[129]
and help put your investment on autopilot
[131]
by allowing you to set up weekly,
[132]
buy weekly or even monthly,
[134]
recurring investments
with again as low as $5.
[138]
Another cool feature
with the Acorns app guys,
[140]
is they do have another
feature called Found Money.
[142]
And this is a really a unique
feature to Acorns because
[145]
it's a very robust cash-back portal
[147]
built directly into the Acorns app.
[149]
But the unique thing about
this cash-back portal
[151]
is that you can not only earn
generous amounts of cash back
[155]
from hundreds of major
retailers they partner with,
[157]
online partners, but,
[159]
you can also then have
Acorns automatically
[161]
invest that cash-back you earn,
[163]
directly back into your Acorns portfolio.
[165]
Now the way Acorns works
is when you first sign up,
[167]
we'll have you take a brief survey
[169]
to help you choose from one of their five
[170]
pre-built diversified portfolios,
[173]
which really do help give you
that instant diversification
[176]
and these portfolios range from
[177]
conservative to moderate,
[179]
to more aggressive and a
couple places in between.
[182]
Now, the great thing about
these pre-built portfolios
[184]
on Acorns is that,
[185]
not only are they well-diversified,
[187]
but because they're well-diversified,
[188]
they're composed of hundreds
of stocks in major companies
[191]
in both the U.S. and foreign.
[193]
And because of that,
[194]
they do help like I said,
[195]
give you that instant diversification,
[197]
which can help reduce risk
[199]
compared to investing in
individual stocks solely,
[202]
solely,
[203]
solely.
[204]
And furthermore,
[205]
because Acorns portfolios
are already well built
[207]
and diversified for you,
[208]
you don't have to worry about
[209]
actively managing your portfolio,
[211]
actively trading stocks
or researching companies.
[213]
You just simply invest and Acorns already
[216]
has that diversification for you in place.
[218]
And another great reason
why I think the Acorns app
[220]
is definitely worth
considering for new investors
[223]
is because not only do they have that core
[225]
investing account built into the app,
[226]
but they also do offer a
lot of other value as well.
[229]
In addition to the core
investment account,
[231]
like I said,
[232]
they do have that very
massive cashback portal
[234]
called Found Money.
[235]
They also do even offer you the option
[237]
to save for retirement.
[238]
You can open up either a Roth,
[239]
a Traditional or a SEP IRA,
[241]
individual retirement account with Acorns.
[243]
And, they do also offer a mobile banking
[246]
checking account called Acorn spin,
[248]
which does also come
with a Visa debit card.
[250]
Now, in terms of pricing on Acorns,
[252]
they don't charge any commissions or fees
[254]
to buy or sell any investments.
[255]
However, they do have
different subscription levels
[257]
with plans starting as
low as $1 per month.
[260]
So who would I recommend
the Acorns app for
[262]
versus who would I not
recommend the Acorns app for?
[265]
Well, for starters
[266]
on the pro side,
[266]
I would definitely recommend
Acorns app for new investors.
[269]
Again, you can get started
investing with as low as $5.
[272]
They have very easy to
understand terminology and
[275]
educational resources built
directly into the app.
[278]
I would also secondly recommend
[280]
Acorns,
[280]
for passive investing,
[282]
because of their different
[283]
array of investing automation tools.
[285]
It really does help
encourage passive investing,
[288]
which means you can invest
without really having to worry
[290]
or even think about it.
[291]
And thirdly, I would
definitely recommend Acorns
[293]
for those new investors
[295]
who really want to get a lot of value
[296]
out of a single app.
[298]
Because again,
[298]
not only can you have the
core investing account,
[300]
but you also have the option to save
[302]
for retirement with a separate account,
[303]
even open up a mobile
banking checking account
[305]
with a debit card as well,
[307]
plus that robust cash-back portal
[309]
where you can not only earn,
[310]
but you can also invest your cash back.
[312]
Now on the con side,
[313]
who would I not recommend
the Acorns app for?
[316]
So the first type of investor
[317]
I would not recommend the Acorns app for
[319]
would be for active stock traders.
[321]
Now, Acorns does have several great
[323]
investing automation tools, but again,
[325]
these features are more geared towards
[327]
passive investing.
[328]
Now, the second type of person
[330]
I would not recommend the Acorns app for
[332]
would be those who want to
invest in individual stocks.
[335]
Now don't get me wrong.
[336]
Acorns does give you
[337]
well pre-built and
diversified portfolios already
[340]
composed of hundreds of individual stocks,
[342]
but you don't have the
control to individually
[344]
pick certain stocks that you want.
[346]
And that's not a problem for new investors
[348]
if you're just getting started
[349]
and you really just want
to get started investing,
[350]
and not have to worry
about picking your stocks,
[352]
researching companies,
[353]
trading stocks, that's not a problem.
[355]
But if you want a little
more customization
[357]
and control over your
investment portfolio,
[359]
and you want to invest in
specific individual stocks,
[361]
we're going to go over to
investing apps coming up next
[364]
that allow you to do just that.
[365]
Now the second investing app
[366]
I recommend for new investors
[368]
to consider is the Stash app.
[369]
And I really liked Stash a lot
[371]
because it's very user friendly,
[372]
much like Acorns.
[373]
The app is very easy to use.
[375]
They use very easy to
understand terminology
[377]
for new investors,
[378]
and just like Acorns,
[379]
with stash you can get started investing
[381]
with as little as $5.
[383]
Now, what does separate Stash from Acorns
[386]
is that Stash does give
you access to investing
[388]
in hundreds of individual stocks and ETFs.
[391]
Now, exchange traded funds
[392]
are essentially diversified investments,
[394]
because they're composed of
[396]
sometimes hundreds of individual stocks
[398]
related stocks bundled together
in one single investment.
[402]
So, ETFs can be a great way to get started
[404]
as a new investor.
[405]
And again, on Stash,
[406]
you do have access to investing
[408]
in hundreds of individual stocks and ETFs.
[410]
Now, another thing I really
like with the Stash app, guys,
[413]
is something called fractional shares.
[415]
And this is a great
feature on the Stash app.
[418]
With fractional shares that
allows you to invest in
[420]
pieces of companies
[422]
without having to buy the
whole share of that stock.
[425]
So let's just say, for example,
[426]
guys, on Stash,
[427]
you want to buy a stock that
may cost hundreds of dollars.
[430]
And that's very common
for major companies,
[432]
stocks to cost hundreds of dollars,
[434]
but you can't afford that
as a new investor on Stash,
[436]
On Stash you can buy a
fraction of that stock
[438]
with again, as low as $5.
[440]
Another interesting feature
to consider on Stash,
[443]
is a feature they have called Stock-Back.
[445]
With Stock-Back,
[446]
instead of earning cash back
on your everyday purchases,
[448]
you earn actual stock
back in real companies,
[451]
real stock from everyday purchases
[453]
when making transactions
with your Stash debit card.
[456]
In addition to Stock-Back,
[458]
Stash does also offer
[459]
a couple different investing
automation tools guys.
[461]
So just Round-Ups where again,
[463]
you can have Stash
roundup the spare change
[465]
from everyday purchases
have the auto invested
[468]
in your Stash account.
[469]
They also offer another
tool called Smart-Stash,
[471]
which really helps you save passively
[473]
and save some extra money
into your Stash account.
[475]
And when it comes down to it guys,
[477]
another reason to really
consider Stash as a new investor
[479]
is it's a very versatile app,
[481]
much like Acorns.
[482]
Because much like Acorns and Stash,
[484]
not only do you have access
[485]
to that personal investment account,
[487]
but they do also give you the option
[488]
to save for retirement by opening up
[490]
an individual retirement account,
[492]
they also do offer a mobile
banking checking account.
[494]
Again, that does come with
a Visa debit card as well.
[498]
And Stash does also offers
something unique called
[501]
Custodial account,
[502]
where you can open an
account for a young person
[505]
in your life under 18.
[506]
And when they turn 18,
[507]
that investment account
can transfer to them.
[510]
Now, let's get to the
pricing with the Stash app.
[512]
Much like the Acorns app,
[513]
Stash does not charge any
commissions or trading fees
[516]
to buy or sell any investments on the app.
[518]
However, Stash does have different
[520]
accounts subscription levels, again,
[522]
with different features,
[523]
and they do have plans starting
as low as $1 per month.
[526]
So now let's briefly discuss
[527]
who I would recommend the Stash app for
[529]
versus who I would not
recommend the Stash app for.
[532]
So for starters guys,
[533]
I would definitely recommend the Stash app
[535]
for new investors.
[536]
Because again, with Stash,
[538]
you can get started
investing with as low as $5.
[540]
And secondly, they do use
[542]
very easy to understand terminology
[544]
all throughout the app and all
throughout their investments,
[546]
much like Acorns.
[548]
Secondly, I would say
the Stash app is ideal
[550]
for those who want to invest passively,
[552]
but maybe you want a little
more control or customization
[554]
over their investment portfolio.
[556]
Because again, with Stash,
[557]
you do have those
investing automation tools,
[559]
but you also have the ability to invest
[562]
in hundreds of individual stocks and ETFs,
[564]
and even greater,
[565]
you can invest in
fractional shares in pieces
[568]
of these major companies on Stash.
[571]
And thirdly, I would say the Stash app
[573]
is definitely ideal for those
who want to get a lot of value
[576]
out of a single app, because again,
[577]
stash is very versatile guys,
[579]
you get the personal investment account,
[581]
but you also have the option
[582]
to open up a mobile banking
checking account again,
[585]
with a Visa debit card.
[586]
You also have the ability
to save for retirement
[589]
by opening up a Stash
individual retirement account.
[591]
And they do also offer custodial accounts.
[594]
If you want to open up
one of those as well.
[596]
Now let's discuss who I
would say the Stash app
[598]
is not as ideal for.
[600]
Firstly, I would say the Stash app
[601]
is not as ideal for active stock traders,
[604]
because while Stash does give you access
[606]
to investing in hundreds of individual
[608]
stocks and ETFs,
[609]
most of the investing automation tools
[611]
available on Stash, guys,
[612]
are more geared towards passive investing.
[615]
The second type of
person I would say Stash
[617]
is not as ideal for,
[618]
would be for those investors
[619]
who want to invest passively,
[621]
but they want to invest in more specific
[623]
smaller less known companies.
[625]
Because again, Stash
does give you access to
[628]
hundreds of individual stocks and ETFs,
[630]
but if you want to invest in thousands
[632]
of individual stocks and ETFs,
[634]
and have access to thousands of companies,
[636]
we're going to go over an
investing up coming up right now
[638]
that allows you to do just that.
[640]
Now the third investing app,
[641]
I would recommend new
investors to consider would be
[643]
the M1 Finance app.
[645]
Because much like Acorn and Stash.
[646]
M1 Finance can be a great platform
[648]
to help you invest passively.
[650]
However, M1 Finance does give you access
[653]
to investing in thousands
[654]
of individual stocks
[655]
and ETFs.
[656]
One of the great things I really
like with M1 Finance guys,
[659]
is that they do allow you to
invest in fractional shares.
[662]
So you have access to
thousands of individual stocks
[665]
and ETFs, and you can also invest
[667]
in fractional shares of
those stocks and ETFs,
[670]
really giving you the best of both worlds.
[672]
Now, probably one of my favorite features
[674]
on the M1 Finance app guys
[675]
is the fact that they allow you to create
[678]
and invest in multiple "Pies."
[680]
They call them,
[681]
which are basically investment portfolios.
[683]
You can have multiple Pies
in a single M1 Finance app.
[686]
So you can have one and M1 Finance app,
[688]
but you can have multiple
investment portfolios in that app.
[691]
Each one consisting of
different investments,
[694]
different stocks.
[694]
You can have a more long-term portfolio,
[696]
a more short-term portfolio.
[698]
M1 Finance does allow
that with multiple "Pies"
[701]
as they call them,
[702]
but they're really multiple
investment portfolios.
[705]
Another cool feature on
the M1 Finance app guys
[707]
is a feature they have
called smart rebalancing.
[710]
With smart rebalancing,
[711]
you can easily rebalance your portfolio
[714]
with the click of a button.
[715]
How cool is that?
[716]
The way this works is,
[717]
if you have some particular
stocks in your portfolio
[719]
that are performing really well
[720]
over a period of time,
[722]
and others that are
not performing so well.
[724]
M1 Finance can automatically sell
[725]
some of those investments for you
[727]
to bring your portfolio more rebalanced.
[729]
Now, one thing that
does separate M1 Finance
[731]
from Acorns and Stash for new investors
[733]
that's worth considering,
[735]
is with M1 Finance,
[736]
it is a $100 minimum investment
[738]
to start investing on the app,
[740]
whereas on Acorns and Stash,
[742]
you can get started
investing with as low as $5.
[744]
So, just something to consider.
[746]
If you're looking at
one of these three apps.
[749]
Now, in terms of the different accounts
[750]
available on M1 Finance,
[752]
they don't offer as many account types
[753]
as on Acorns and Stash,
[755]
but they do give you a little flexibility
[756]
in the different accounts you can open.
[758]
You can open up a
personal investing account
[760]
on M1 Finance.
[761]
They also have give you the option
[762]
to open up an individual
retirement account
[764]
if you so choose.
[765]
They also do offer a
feature called M1 Spend,
[768]
which again is a mobile
banking checking account
[770]
with a Visa debit card,
[771]
just like Acorns and Stash.
[773]
However they don't offer
any cash-back portal
[776]
or any custodial account at this time.
[778]
Now, when it comes to the
pricing on M1 Finance,
[780]
it's a 100% commission free platform,
[783]
they don't charge any commissions,
[784]
or trading fees for buying
or selling your investments,
[787]
nor do they charge any
account subscriptions
[788]
on a monthly basis.
[789]
There's no monthly
account maintenance fees.
[791]
It's 100% free.
[793]
Although they do offer an upgraded account
[795]
called M1 Plus,
[796]
the regular M1 Finance account,
[798]
does not charge any monthly fees.
[800]
So, who would I say the M1
Finance app is ideal for,
[803]
versus who is it not as ideal for?
[805]
So for starters, I would definitely say
[806]
M1 Finance is ideal for new
investors, because again,
[809]
there are no commissions or fees
[811]
to buy or sell investments on M1 Finance.
[813]
You have access to investing in
[815]
thousands of individual stocks and ETFs.
[817]
You can invest in fractional
shares of these companies.
[819]
And of course,
[820]
if you don't want to
pick individual stocks,
[822]
they do also offer several
[824]
pre-built and diversified portfolios
[826]
that you can invest in just the same.
[827]
Secondly, I would say,
[828]
M1 Finance app is ideal for investors
[831]
who want to invest more passively,
[832]
but they want access to
[834]
thousands of individual stocks and ETFs,
[836]
and they want access to customizing
[838]
and a little more controlled customizing
[840]
their investments in their portfolio.
[842]
And thirdly, I would say M1 Finance
[844]
is ideal for investors
[845]
who want access to smart rebalancing,
[847]
because again, with M1 Financing,
[849]
you do have that feature,
[850]
where you can easily
rebalance your portfolio
[852]
with the click of a button.
[853]
Again, guys,
[854]
just be aware that every time you do that
[855]
a taxable event does occur,
[857]
but nonetheless, the
feature is available to you.
[860]
Now, who would I say M1
Finance is not as ideal for?
[863]
Firstly, M1 Finance just
like Acorns and Stash,
[866]
is not as ideal for active stock traders.
[868]
M1 Finance guys,
[869]
while they do give you access to
[871]
thousands of individual
[872]
stocks and ETFs,
[873]
pretty much all the companies
you could want to invest in.
[876]
Most of the features
[877]
on the finance app
[878]
are not stock trading features.
[880]
They're more geared
towards passive investing
[882]
and building a diversified
[883]
portfolio.
[884]
Secondly, I would say,
[886]
M1 Finance is not as ideal,
[887]
if you're a new investor
[889]
who wants some more
investing automation tool.
[891]
Now, don't get me wrong.
[892]
M1 Finance is a great
app for new investors,
[894]
but they don't have as many
investing automation tools
[897]
as Acorns and Stash do,
[899]
such as Round-Ups and cash-back portals,
[901]
and things like that.
[902]
And Acorns and Stash
[904]
gives you a lot more
investing automation tools
[905]
to really help you if
you're just getting started.
[908]
M1 Finance isn't there yet,
[909]
but they do give you access to more
[911]
customization of your portfolio,
[913]
with thousands of stocks and ETFs.
[915]
So, it's just pros and
cons of each depends
[918]
really on what you're looking for.
[920]
Now, if you enjoyed this video
[921]
on my top three stock
market investing apps
[923]
for new investors,
[924]
and you want to compare them
[925]
to my top three stock trading
apps for new stock traders,
[928]
I encourage you to check
out this video right here
[930]
on my top three stock market trading apps
[932]
for new stock traders.
[933]
This video right here,
[934]
will compare them to
these three investing apps
[936]
and really help you decide,
[937]
which is the best investing
or stock trading app for you
[940]
based on your investment goals.
Most Recent Videos:
You can go back to the homepage right here: Homepage