5 Best Micro Investing Apps for Beginner Investors

Micro investing apps make stock market investing accessible to anyone, with as little as $5 needed. These apps provide a user-friendly experience with an intuitive design, simple explanations of the investment process, and an entertaining experience.

If you are a beginner investor seeking the best way to get started, using a micro-investing app is one of the best options. These apps make it straightforward to start investing, even if you have limited money. Here are five top micro-investing apps that you should consider: Acorns, Stash, Robinhood, Betterment, and M1 Finance.

Each app offers something unique, so you can pick the one that suits your needs. Whether you are looking for an easy way to start investing or a more advanced platform, these apps can help you get started.

So, don't wait any longer; start investing today with one of these five best micro-investing apps!

5 Best Micro Investing Apps

Are you looking for the best micro-investing apps?

Investing can be intimidating and overwhelming for those who are just getting started. But with the rise of micro-investing apps, getting into the market has become more accessible and affordable.

Micro-investing apps are a fantastic way to start investing without spending much money. With these apps, you can access the stock market with small amounts of money, usually just a few dollars.

Here are five of the best micro-investing apps to get started with:

1. Acorns

Acorns are among the most popular micro-investing apps that are making waves in the global financial markets. With its user-friendly interface and simple cost structure, Acorns has become a favorite among novice and experienced investors.

Acorn is a micro-investing app that allows users to sign up and begin investing with as little as $5. This makes it a terrific way to start investing without spending much money upfront. Acorns offers a simple, easy-to-use interface that lets you monitor your investments and make necessary changes.

How Does Acorn Work?

Acorn is a micro-investing app that allows users to save and invest spare change from everyday purchases. Users need to link their debit or credit card to their Acorns account, and the app automatically rounds up any purchase to the nearest dollar and invests the difference. This could mean a $5.50 purchase would be rounded to $6.00, and the extra fifty cents would be invested in a portfolio of low-cost exchange-traded funds (ETFs). Acorns also offer various other features, including retirement accounts, automatic investments, and fractional shares.

Features:

Acorns offer a range of features to help users save and invest their spare change. In addition to its core investment portfolios, users can access automatic investments, which allows them to set up recurring deposits. This could be an excellent tool for saving money for a specific goal. Acorns also offer a retirement account, which allows users to save for retirement with tax-advantaged Roth and Traditional IRAs.

Acorns also let users access fractional shares, allowing them to invest in stocks without buying a total share.

Costs:

Acorns is a relatively low-cost option compared to other micro-investing apps. Its core plan costs a flat $1 per month and gives users access to its core investment portfolios. For users looking to access additional features like Retirement accounts, Smart Deposits, and fractional shares, Acorns offers its Acorns Plus plan for $3 per month. This is an incredibly cost-effective way for users to get started with investing.

So, Acorns could be the perfect option if you're seeking an easy and affordable way to save and invest your spare change.

2. Betterment

A growing trend of micro-investing provides a simple, cost-effective way to build wealth. With the rise of mobile technology, micro-investing is becoming increasingly accessible. The best option for those seeking to dip their toes into investing is Betterment. Betterment is a digital financial advisor that offers personalized advice to help people reach their financial goals. The platform provides an easy-to-use interface and automated tools to simplify investing.

How Does Betterment Work?

Betterment offers a simple way to invest and save money. You must open an account and link it to a bank account. From there, you can set up automatic deposits and savings goals. You can choose one of Betterment's portfolio options or create your own. Betterment's automated investment process is designed to make the investment process more accessible. It uses artificial intelligence to monitor the market and adjust your investments. Plus, you'll get personalized advice tailored to your financial goals. In addition, Betterment also offers tax optimization services so you can ensure you're getting the most out of your investments.

Features:

Betterment offers several features that make it stand out from other micro-investing apps.

Following are the features you can take advantage of:

• Automated Investment: As mentioned, Betterment utilizes automated investing to make the process easier and faster. Plus, it delivers personalized advice based on your goals and preferences.

• Low Fees: Betterment has some of the lower fees for a micro-investing app. There are no setup or account maintenance costs, and your expenses are based on your account balance.

• Financial Planning: Betterment also offers financial planning services so that you can construct a plan to control your finances. They can also help you set up a budget and manage your money.

• Tax Optimization: Betterment's tax optimization services can help you save on taxes using tax-loss harvesting and other strategies.

• Education: Betterment also provides educational resources to assist you in learning more about investing and managing your money.

Costs:

When investing with Betterment, you’ll be required to pay a fee.

The three different types of fees associated with Betterment include:

• Management Fees: Betterment charges a management fee of 0.25% of your account balance.

• Investment Fees: Betterment has no additional investment fees, so you only pay for the fees on the individual investments in your portfolio.

• Account Transfer Fee: When transferring your Betterment account to another broker, you may be required to pay a fee.

3. Stash

As the world's economy continues to evolve and technology advancements, so too do our ways of investing. Microinvesting is an emerging trend that enables savvy investors to tap into the stock market through low-cost apps that allow you to save and invest small amounts of money. Stash is one of the top micro-investing apps on the market, offering various features that make investing easy and accessible for everyone.

What is Stash?

Stash is an app-based micro-investing platform to help you save and invest small cash. The app is designed to make investing easy and accessible, even for those who have never invested. With Stash, you can set up regular investments with as little as $5 and invest in a vast range of investments like stocks, bonds, and ETFs.

How Does Stash Work?

Stash makes investing easy and accessible. Download the app and build an account. After creating an account, you can choose an investment plan that aligns with your objectives and threat tolerance. You can set up regular investments with as little as $5 and watch your money grow.

Features:

Stash offers numerous features that make it one of the best micro-investing apps.

Some of these features include:

• Automated Investing: With Stash, you can set up automatic investments that will be executed regularly. This allows you to invest without having to monitor the markets every day.

• Guidance: Stash provides detailed advice on investing and managing your portfolio. So, it gets easier for novice investors to get started with Stash.

• Education: Stash offers numerous educational tools and resources to assist you in understanding the stock market and becoming a better investor.

• Low Fees: Stash has some of the lowest fees compared to other micro-investing apps. This makes it more affordable for investors who are just starting.

Costs:

Stash has meager fees compared to other micro-investing apps. With Stash, you can start making money with as little as $5. Additionally, Stash charges a $1 monthly fee for accounts under $5,000 and 0.25% of the account balance for accounts over $5,000. This makes Stash an affordable option for those looking to get started with micro-investing.

With its easy setup, great features, and low costs, Stash is an excellent option for beginners and experienced investors. Get started now and begin your micro-investing journey today.

4. Robinhood

Robinhood lets you invest as small as $5 and provides access to an extended range of stocks and ETFs. Plus, it offers several valuable features that make it an attractive option for beginner investors.

Here's a closer look at Robinhood, its work, and the features and costs associated with using it.

How Does Robinhood Work?

Getting started with Robinhood is easy. Download the app and create an account. You'll have to provide basic information, like your name and address, and then you'll be ready to invest. Once you've got an account, you can start trading stocks and ETFs from the comfort of your home. You can enter into trade agreements and contracts to purchase or sell stocks at a specific price and date.

Features:

Robinhood offers a variety of features to enhance your investment experience. The user-friendly platform is designed to be available, so you don't need extensive financial knowledge to take advantage of it.

Some of the features of Robinhood include:

• Real-time stock prices: Get access to up-to-date stock prices in seconds.

• Watchlists: Keep track of stocks and ETFs that you're interested in.

• Portfolio tracking: Easily view your portfolio performance and make adjustments as needed.

• Research tools: Access analyst ratings and financial data to help inform your investment decisions.

• Stock trading: Buy and sell stocks and ETFs in just minutes.

Costs:

The good news is that Robinhood is completely free to use. There are no commissions, no account minimums, and no additional fees. However, there are some other expenses that you should be aware of. For example, Robinhood charges $5 for instant deposits, an option allowing you to invest your money faster. Additionally, some of the features of Robinhood, such as the ability to buy and sell options, require a higher account minimum.

Robinhood is a great option if you're looking for a way to start investing without the hassle of traditional stock trading. It's user-friendly, has many features, and doesn't cost a penny.

5. M1 Finance

M1 Finance is an excellent choice for beginner investors. It offers a simple, user-friendly platform to help you manage your investments.

What is M1 Finance?

M1 Finance is a free, automated, and user-friendly investing platform that lets users invest in the stock market with low minimums. The app was created to make real-time tracking of your investments more accessible. It also allows you to create specialized investing portfolios tailored to your needs.

How Does M1 Finance Work?

M1 Finance provides an inexpensive and approachable way to invest in the stock market. Its user-friendly platform offers step-by-step guidance for creating a portfolio. Additionally, users can establish an automated investment schedule, allowing the app to invest a predetermined amount of money into the stock market regularly. Alternatively, users can manually choose specific stocks or ETFs to invest in.

Features:

M1 Finance delivers a range of features that make investing and tracking your investments easy.

These features include:

• Automated portfolio rebalancing, which keeps your portfolio in alignment with your goals.

• Tax-loss harvesting to help you reduce your taxes.

• Investment tracking and monitoring for an up-to-date view of your investments.

• Access to fractional shares so you can purchase even small stocks and ETFs.

• A wide range of investment accounts, including traditional and Roth IRAs, assist you in saving for retirement.

Costs:

M1 Finance is free to use, with no commissions or other fees. However, you may incur some trading costs if you buy or sell stocks, ETFs, and some taxes.

M1 Finance is a top-notch micro-investing application available in the market. It provides excellent functionalities and affordable pricing to expand your financial portfolio. The app is designed for simplicity, with automated features that facilitate investing in the stock market while keeping track of your investments in real-time.

Final Thoughts

Micro-investing apps are an excellent option if you're a beginner investor looking for an easy, low-cost way to invest your money. Not only do they allow you to start investing with minimal capital, but they also provide an assortment of helpful features and tools tailored to suit the needs of beginner investors.

By carefully researching the five best micro-investing apps we've discussed, you can find the one that best suits your needs and begin growing your wealth in no time. The endless possibilities, so don't wait any longer and start your micro-investing journey today!