3 Beginner Investing Platforms to use During Quarantine.

wall street sign in new york

Are you fortunate enough to receive a stimulus check without having lost your job? If you’re like me and found yourself discovering money in your account, now is an amazing time to dip your foot into the wonderful world of investing! There are so many avenues that you can take with investing in the stock market. When I started a few years ago, I was not privy to the plethora of brokerage choices that we all have now. If I were aware back then of the info that I have now, I would have had a way easier investing experience. In this article, I am going to talk about three beginner friendly investing platforms (that are NOT Robinhood) that can jump start your investing journey!

STASH Investing

Stash Investing - computer with money on the keyboard

 Stash is perfect for beginners because it allows you to invest small amounts of money at a time. People tend to be deterred by account minimums when they begin investing. The good news? You can open a traditional or Roth IRA with a minimum of 1 cent! That’s right, you do not need to have a substantial account minimum to begin investing with Stash.

This is important because it doesn’t allow for excuses to why you cannot start TODAY. 

Stash gives you access to individual stocks, ETF’s and Bonds, so you are exposed to the same market that people have access to when using the big three brokerages that aren’t so beginner friendly. What’s even better? you can invest in fractional shares. That means it allows you entrance into those stocks that you would not otherwise be able to afford! Other benefits are things like auto invest, and investing your spare change on transactions. way to keep us ahead of the curve!
 
 

Acorns Investing

Acorns investing - an acorn on green leaves

With Acorns, investing is inevitable. It gained popularity based on its “automatic round – ups” which is similar to Stash. The idea is that you would spend money on a random purchase, and the left over change from that purchase would go towards your Acorns account. For example: you spend $5.43 on a caramel frappuccino at Starbucks. The leftover $0.57 would automatically be transferred to your account, based on your auto investing settings. 

Other Acorns benefits are the bountiful library of articles that provide periodic stock updates and market education, and their retirement tool called Acorns later. This is where you can invest in your Roth IRA, and create recurring transfers. This platform lets you invest as little as $5 at a time!

M1 Finance

m1 finance - a hand holding a phone with stocks on the screen, and a computer with stocks on the screen

M1 finance is my favorite beginner friendly investing app because to me, the concept is the most lucrative. It is essentially a robo-advisor that can be set to auto invest your csh once it reaches a threshold of $25. You are given one trading window per day at 9 AM. This makes it not ideal for swing or day traders. What sets M1 finance apart is their investing pie concept. It allows you to create groups, or “pies” that contain a certain sector of stocks, or however you choose to separate your pies. Then you can set M1 finance to auto-invest into those pies. The default setting will just invest the money equally into all of your stocks, so you have to be vigilant in choosing how you want your money to be allocated.

There is a bit of work up front with creating your pies and allocating where you would like your money invested. However, once your setup is complete M1 finance works as a well oiled machine that you can truly set and forget! Other benefits include M1 plus, that lets you earn cash back on debit card purchases, and allows for a second trading window in the afternoon. M1 borrow, and spend, which gives you access to an FDIC insured checking account!

Conclusion

These three investing platforms are so simple to use, while also being unique in their own right. They allow you to kick-off your investing journey if you don’t have any other plans for your stimulus check, and get ahead of the game while we are in this time of waiting for things to normalize in the economy. Plus the market is low, so what better time than now to take risks?
Did you  start out using any of these investing platforms? Which was your favorite, and how did it shape your investing strategy? Be sure to let me know in the comments. Also be sure to check out my last post on how to make money during the current crisis. stay safe out there!  Wash your hands!

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