Stash Invest Competitors Prices

Broker Review Stock/ETF
Commission
Mutual Fund
Commission
Maintenance
Fee
Annual IRA
Fee
Promotion
Offer
M1 Finance $0 na $0 $0 Invest for FREE - pay no broker commissions or fees.
Betterment na na 0.25% 0.25% None
Wealthfront na na 0.25% 0.25% None
Stash na na 0.25% 0.25% Get $5 bonus when you open new account.
Ally Invest Advisors na na 0.30% 0.30% Just 0.30% Annual Advisory Fee at Ally Invest.


Most robo-advisors have, as the name "robo" suggests, computer program doing all the decision-making. With Ally Invest Managed Portfolios, for a slightly higher fee they offer human auto-investing service. So basically with Ally Managed Portfolios you are getting something similar to wealth management that rich people get but at a price that's 3-7 times lower than what wealth management firms charge.

Another game changer has been M1 Finance. They offer both robo-advisor and discount brokerage service. With other Betterment competitors you are limited to just few ETF's and mutual funds. With M1, you can invest in all stocks and ETF's listed on either the New York Stock Exchange or NASDAQ. Amazingly, there is $0 investing cost. That's right — unlike other Betterment competitors with M1 you pay no annual management fee. The company makes money by offering additional optional services, such as borrowing money, debit card, etc.

Stash Invest Overview

Are you looking to start investing but are worried you don’t have enough cash saved up to make a brokerage account worth it or that you won’t know what you should buy? Stash is a relatively new investing app and website that wants to make investing easier for people like you by allowing you to invest in fractional shares. This article will provide an overview of Stash and how it is different from other platforms currently out there.

How Does Stash Work?

Stash’s main selling point is that you can start investing at whatever scale is right for your wallet, investing as little as $5 at a time. And if you want to invest $5 in higher-priced stocks or ETFs, such as Apple (AAPL), which is currently trading above $100/share, Stash will let you buy fractional shares. With most other brokers, you cannot buy less than one share of a security, making high-priced stocks out of reach for those who have less cash to invest.

What Kinds of Investments Does Stash Offer?

A downside of Stash is that it currently only offers about 100 different U.S. stocks and ETFs on its platform, so you are quite limited in terms of what you can invest in.

How Do I Know What to Buy?

With Stash, you can choose from one of two approaches to investing. The first option is the standard do it yourself approach where you can research the different securities Stash offers and then hand-pick the ones you want to invest in and how much you want to allocate to each position. If you don’t have the time or desire to build your own portfolio, Stash offers personalized portfolio tool that’s included in every account. This tool will ask you a few questions about your current financial situation, investing goals, and the type of businesses you prefer to support. Based on your answers, Stash will recommend a personalized portfolio that consists of various allocations to stocks and ETFs it supports. If it isn’t quite what you were expecting or hoping for you can always go back and edit your responses to see how it impacts the proposed portfolio.


Stash Learn


Educational Tools

For those who are brand new to investing, Stash has a learning center called “Stash Learn” with various self-help style articles that are quick and easy reads. Their articles range from discussions about saving and investing to risk and debt management. They also offer more interesting reads related to current market events.


Stash Learn


What Are the Costs?

The good thing about Stash is they do not charge any trading commissions, which complements them offering fractional shares in order to cater to smaller investors. The only cost to you is Stash’s monthly account fee, which is $1 per month for balances under $5,000 and 0.025% for balances of $5,000 or more. For retirement accounts, the monthly fee is $2 for balances under $5,000 and 0.25% for balances of $5,000 or more.

What Types of Accounts Does Stash Offer?

Stash doesn’t offer as many account types as some of the larger brokers, but still offers the basics, including standard taxable accounts, retirement accounts (Traditional and Roth IRAs), and custodial accounts. Traditional and Roth IRAs come with tax advantages to entice investors to save for their retirement while custodial accounts also offer their own potential for tax savings to encourage parents to set aside money early for a child’s education.

Summary

Although Stash is quite limited in terms of investing options, it is one of the few platforms that makes investing in small increments cost-effective through fractional shares. This is why we would recommend Stash to beginners that want to start investing on a very small scale.


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