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SoFi Active Investing packs in essential perks such as no trading commissions, no account minimums, and a high-quality mobile app experience. Learn more about this stock broker with our SoFi Active Investing review.
A clear standout for a modern investing experience, particularly for beginner and long-term investors. The ability to buy fractional shares, as well as the ability for everyday investors to participate in IPOs, bolsters our overall opinion.
$0 for stocks, $0 for options contracts
$0
Get up to $1,000 in stock when you fund a new Active Invest account.
On SoFi Active Investing's Secure Website.
We recommend comparing brokerage options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of our best trading platforms of 2024.
This stock broker is a good fit for: Beginner stock and ETF investors seeking a high-quality mobile experience and low commissions.
Here at The Motley Fool Ascent, we pride ourselves as real users of most of the products across our site. Writer Brittney Myers uses SoFi Invest -- here's her take on this broker:
The SoFi Invest app is fairly easy to use, especially compared to some other apps I've used. It wasn't hard to figure out where to go to buy stock and see my portfolio. And I liked the free stock I got for opening an account; it was from a fairly well-known company that I was curious about anyway. (Some apps give you stock you've never heard of or would never buy.)
Most brokerages have scrapped trading commissions for online stock and ETF trades. SoFi Invest is no different. However, SoFi Invest also offers options trading with no per-contract fees, which is somewhat of a rarity in the brokerage industry.
You can open a SoFi Invest account with no minimum amount.
SoFi Invest lets investors buy fractional shares of stock. In a nutshell, investors can buy a portion of a share of stock for as little as $5. This means that not only can investors open an account with a tiny deposit, but they can actually invest that tiny amount of money -- even in stocks whose share prices are relatively high.
SoFi has an easy-to-use app that serves as the functional home base for its investing platform and other financial products. It is highly rated, with 4.8 out of five stars on the App Store and 4.2 out of five stars on Google Play.
Unlike some of the other low-frills brokerages, SoFi Invest offers traditional, Roth, and SEP IRA accounts to its investors, both active and automated.
SoFi Invest does a great job of educating its customers about all of its financial products and accounts, and its brokerage is no exception. The platform offers extensive educational resources for investors who are just getting started or who want to advance their investing knowledge.
Most brokers reserve IPO investing for investors who either have a high net worth or are very active. SoFi Invest allows all active investing members to participate in IPOs with no minimum account balance or investment amount.
SoFi Invest now offers more than 6,000 commision-free mutual funds on its platform. Minimums are low, and folks can invest in mutual funds through their brokerage and retirement accounts.
Alongside mutual funds, SoFi Invest offers alternative funds, including access to venture capital. In the discount brokerage universe, that's uncommon. Folks can invest in alternative funds through their SoFi Invest brokerage and retirement accounts.
If you use SoFi Active Investing, you'll become a SoFi member. This entitles you to discounts on other products offered by the company. For example, if you end up taking out a personal loan, you can get a discounted interest rate because of your relationship with the company.
SoFi Invest is one of the few brokerage platforms that gives investors a bonus for retirement contributions. SoFi Invest's standard matching rate is 1% of eligible IRA contributions, and this includes both new contributions and transfers of assets or cash from outside accounts. So, if you roll an old 401(k) with $20,000 into a SoFi Invest IRA, you can get a $200 bonus for doing so. There are certain conditions to meet before you can keep the bonus, but this is a big differentiator.
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SoFi Invest offers traditional brokerage accounts (both individual and joint), as well as traditional and Roth IRAs. It also offers SEP IRAs -- a favorite of self-employed individuals. However, it does not offer SIMPLE IRAs, solo 401(k) accounts, UGMA/UTMA accounts, trusts, and several other account types you might be interested in.
SoFi Invest's desktop and app-based trading platforms are easy to use. However, they don't have as many features as some of the other top brokerages. Active investors and those who want features like stock research, charting tools, and other advanced features may want to look elsewhere.
Like most other brokerages, SoFi Active Investing doesn't charge commissions on stock trades. However, it does charge a 0.5% purchase fee for alternative funds.
Stocks and ETFs | Options | Mutual Funds | Alternative Investments |
---|---|---|---|
$0 | $0 | $0 | 0.5% purchase fee |
On all stock and ETF trades, investors will pay $0 in transaction fees. Options trading is also available, and has no per-contract charges or commissions. SoFi Invest offers mutual funds and alternative investments; the platform charges $0 commision fees for mutual funds, but fund managers may charge fees independent of SoFi Invest. After the first 60 days (which started on Jan. 29), SoFi Invest will begin charging a competitive 0.5% purchase fee on alternative funds.
Investors can buy and sell stocks, ETFs, and other investment types through SoFi Invest's desktop platform. They can also use its highly rated app, which also serves as the home base for all of SoFi's financial products.
The SoFi app is known for its ease of use. It's currently rated at a 4.8 out of 5 in the Apple App Store, and a 4.2 out of 5 in the Google Play Store.
SoFi Active Investing does offer margin at a flat rate of 10% for members. In the current interest rate environment, this is in line with what most other brokers offer.
SoFi Active Investing is designed as a low-frills platform. It's primarily targeted at beginning investors, and does not offer access to third-party stock research at this time. Investors who like to analyze stocks might prefer a full-featured brokerage.
RELATED: SoFi Active Investing Promotions
At The Motley Fool Ascent, brokerages are rated on a scale of one to five stars. We primarily focus on fees, available assets, and account types; however, we also take into account features like research, education, tax-loss harvesting, and highly rated mobile apps. Our highest-rated brokerages generally include low fees, a diverse range of assets and account types, and useful platform features.
See our full methodology here: Ratings Methodology
SoFi Active Investing is the financial service company's brokerage offering. It allows SoFi Invest customers to buy and sell stocks, ETFs, mutual funds, and options through an easy-to-use platform, and can be used through the same mobile app and web platform as SoFi's bank accounts and loan products.
SoFi Active Investing is designed to be a user-friendly way to buy stocks and other investments for investors of all experience levels. It has an easy-to-use platform and a ton of educational resources to help newer investors learn.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market. The Ascent has a dedicated team of editors and analysts focused on personal finance, and they follow the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands.
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Robinhood disclosure
All investments involve risk and loss of principal is possible.
Securities are offered through Robinhood Financial LLC, member FINRA/SIPC. Cryptocurrency services are offered through an account with Robinhood Crypto, LLC (NMLS ID 1702840). Robinhood Crypto is licensed to engage in virtual currency business activity by the New York State Department of Financial Services. Cryptocurrency held through Robinhood Crypto is not FDIC insured or SIPC protected. For more information see the Robinhood Crypto Risk Disclosure.
Trades of stocks, ETFs and options are commission-free at Robinhood Financial LLC. Other fees may apply. Please see Robinhood Financial’s Fee Schedule to learn more.
Fractional shares are illiquid outside of Robinhood and are not transferable. Not all securities available through Robinhood are eligible for fractional share orders. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see the Fractional Shares section of our Customer Agreement.
Robinhood Gold is an account offering premium services available for a $5 monthly fee. Not all investors will be eligible to trade on Margin. Margin investing involves the risk of greater investment losses. Additional interest charges may apply depending on the amount of margin used. Bigger Instant Deposits are only available if your Instant Deposits status is in good standing.