13 Best Micro-investing Apps: Easy Ways to Invest (2022)

You don’t need to be rich to invest and make money on micro-investing apps. Here are the highest-rated apps everyone is using to turn pennies into dollars. 

Did you know you have access to the same major investment opportunities as Wall Street investors at your fingertips? If you’re looking for easy ways to invest your money, micro-investing apps are your VIP pass into stocks, bonds, mutual funds, cryptocurrency, and more. 

The best part of micro-investments? You don’t need to be rich to find success and grow your money. Instead, the apps make it simple and convenient to invest small amounts of money and develop a well-balanced, diversified portfolio over time. 

What is Micro-investing?

Micro-investing involves investing small amounts of money into stocks, bonds, ETFs, mutual funds, and cryptocurrency. In some cases, making a small investment could mean purchasing a fractional share of a stock or even investing spare change. Rather than hiring a Wall Street stockbroker to do your trading, you can execute all trades yourself through a micro-investing app. 

What are the Benefits of Micro-investing?

The most apparent benefit of micro-investing is that it makes investment opportunities accessible to everyone, no matter where they are in their net worth journey. Besides offering a level playing field for people of all income levels to try their hand at investing, micro-investing also provides some other small perks. 

Convenience

Micro investing apps make it simple and convenient to invest small amounts of money. As long as you’re connected to the app, you can make trades, research the market, or in some cases, even connect with other investors. 

Diversification

Micro investing makes diversification easy, as most apps offer an eclectic mix of options like stocks, bonds, mutual funds, index funds, ETFs, and cryptocurrency. You want to ensure diversity in your portfolio to reduce your long-term risk. 

Affordability

Contrary to the commonly held belief that investing is only for the wealthy, micro-investing allows you to invest small amounts of capital at a time. In fact, you can start micro-investing with as little as $20 using a basic micro-investing app on your phone. 

What to Look for in a Micro-investing App

When you’re looking for a micro-investing app, there are a few things you’ll want to keep in mind. 

Types of Investments Offered

Some micro-investing apps only allow you to invest in certain types of investments, while others offer a more comprehensive range of options. Look for apps that provide a vast assortment of U.S. and global stock options, mutual funds, and ETFs. If you’re interested in trading cryptocurrency, then be sure to check that the app offers crypto as an option. 

Fees associated with the app. 

Every app is making money somehow, so educate yourself about the fee structure associated with each. For example, is it free to download? Are there commissions on trades? Do you have to pay a monthly fee to trade? 

Level of customer service offered by the app. 

If something goes wrong and you need support to resolve an issue associated with your account, you’ll likely want to talk to a live human about the problem. Unfortunately, some apps fall short when it comes to customer service, so be sure to read reviews before you settle on your chosen app. 

Security of the app. 

You’ll be trusting the app with your personal and financial information, and you don’t want to give out this information freely without doing your homework first. So be sure to research the app’s security features before you decide to use it and only use apps you trust. 

The 13 Best Micro-investing Apps in 2022: Pros and Cons

Based on the four qualities we covered above, thirteen micro-investing applications fit the bill for beginners and experienced investors alike, from least to most user-friendly. 

13. M1 Finance

The M1 Finance app takes the bottom spot in the list because it’s the most expensive. But when it comes to high-quality financial products, you get what you pay for, so it could be worth it if you can afford the fee. 

• PRO – Free active trading plus commission-free trades. 
• PRO – Automated investing. 
• PRO- $30 signup bonus with a $1000 deposit. 
• CON – $125/year on an M1 Plus subscription for access to custodial support. 

12. Fidelity Investments

For an old-school investment institution, Fidelity Investments has done a lot to adapt to the needs of modern-day users. 

• PRO – No commissions, no account minimum. 
• PRO – Zero expense ratio mutual and index funds. 
• PRO – Stock, options, ETF, mutual fund, fractional share investing. 
• CON – Higher than average options contract fees. 

11. Ally Invest

Ally is the perfect app if you’re new to investing or don’t have a ton of money set aside to invest. With its research tools and basic investment options, you’ll have the fundamentals down in no time. 

• PRO – No commissions, no account minimum.
• PRO – U.S. stocks, options, ETFs.
• PRO – Robust research and tools.
• CON – Charges transaction fees on mutual funds and options.

10. E*Trade

The best part about E*Trade isn’t just the commission-free trades on stocks and ETFs — users get access to a top-notch investment library. 

• PRO – No commissions on stocks and ETFs.
• PRO – Extensive library of educational resources. 
• PRO – U.S. Stocks, bonds, ETFs. 
• CON – Slow live chat. 

9. Wealthsimple

With the option to add crypto to your portfolio, Wealthsimple gives you various opportunities to diversify your portfolio. 

• PRO – Stocks, ETFs, select cryptocurrencies.
• PRO – Unlimited access to a financial advisor.
• PRO – No minimum investments.
• CON – Charges a larger Management Expense Ratio than competitors. 

8. Stash

Here’s another app that’s great for beginners. With Stash’s user-friendly platform, you can opt-in for a managed account for less than $10 per month. 

• PRO – Easy for beginners. 
• PRO – No account minimum.  
• PRO – Only $1-$9 for a managed account.
• CON – No tax-loss harvesting for Smart Portfolios.

7. Webull

If you’ve been investing for a few years, you’ll love Webull’s commission-free trades and complimentary stock options at signup. 

• PRO – Best for self-directed investors and intermediate traders. 
• PRO – Commission-free trades. 
• PRO – 5 free stocks with a $5 deposit and $5 worth of free crypto. 
• CON – limited portfolio options (only stocks, ETFs, and options). 

6. Greenlight + Invest

If you hope to pass on healthy financial management skills to build generational wealth, Greenlight + Invest is the perfect microinvesting app to make it happen. With the guidance of a guardian, kids can learn all there is to know about the investment process. 

• PRO – Teaches children investing fundamentals with guidance from parents. 
• PRO – Automatic funds transfer to a child’s account. 
• PRO – One month free, then $7.98 per month. 
• CON – Customer service is reportedly difficult to contact. 

5. Robinhood

Robinhood is an app built around one promise: no-fee stock and cryptocurrency trading. It’s one of the most popular stock trading apps today, with over 10 million users.

• PRO – Stock, crypto, and ETF investing. 
• PRO – Commission-free trades. 
• PRO – Free stock with signup. 
• CON – No bonds trading option, weak customer support. 

4. SoFi

SoFi Invest offers the convenience of automated investing and provides all new users with a free stock at signup. 

• PRO – Free trades. 
• PRO – Automated investing. 
• PRO – Free stock worth between $5-$1,000 with signup. 
• CON – Limited product portfolio. 

3. Public

Public’s concept is unique because it offers users a chance to see, react to, and comment on other users’ trades. 

• PRO – Connect with other investors in the style of social networking. 
• PRO – Commission-free trades. 
• PRO – $10 free stocks for signing up. 
• CON – Limited investment options and markup on crypto trades. 

2. Betterment

Betterment is an app that helps you invest your money and save for retirement. It offers a variety of features, including automatic rebalancing, tax-loss harvesting, and goals-based investing.

• PRO – Leverage tax-loss harvesting. 
• PRO – Global investment options. 
• PRO – Leading robo-advisor in the industry. 
• CON – 0.25% portfolio management charge, spotty customer service. 

1. Acorns

Acorns is an app that helps you invest your spare change. It rounds up your credit or debit card purchases to the nearest dollar and invests that money into a portfolio of ETFs.

• PRO – Automated investing that automatically invests spare change. 
• PRO – Diversified investments. 
• PRO – Only $3-$5 per month.  
• CON – Fees may be challenging for minimal investments. 

How to Micro-invest 

Micro investing is fast and easy when you leverage the power of technology. If you have a phone in your pocket, you can access micro-investment technology. Here’s how to get started as a micro investor. 

Choose a micro-investing app 

Now that you’ve reviewed our list of the top micro-investment apps, choose the best one for you based on your level of investment experience, goals, and budget. 

Deposit money

Once you’ve set up your account, you’ll need to deposit money into it from your bank account. You can do this through a bank transfer (you’ll need your routing number and account number) or a credit or debit card.

Choose your investments 

Once you’ve deposited money into your account, you can choose what you want to invest in. Pick a stock, ETF, or other investment. It’s wise to do your research and check multiple reputable sources before making any trades. 

Monitor your investments

Once you’ve invested your money, you’ll need to monitor your investments and ensure they perform well. Here’s a tip — don’t bother to check them every day. Instead, check your assets weekly or even monthly, as the market can be volatile from day-to-day. 

How Much Money Do You Need to Invest?

One of the great things about micro-investing is that you can start with as little as $5, making micro-investing an excellent option for people who don’t have a lot of money to invest.

Of course, how much money you’ll need to invest will depend on your investment goals. For example, if you’re looking to make a quick profit, you’ll need to invest more money. On the other hand, if you’re looking to build a long-term investment portfolio, you can get started with as little as $20.

Final Thoughts 

Micro-investing is a relatively new investment strategy, which means some risks are involved. Apps are not as well-regulated as traditional financial institutions, so there’s a chance that your personal information could be at risk. In addition, some of the apps may not have the same level of customer service as traditional financial institutions.

So before you decide to use a micro-investing app, be sure to do your research and only use apps that suit your individual needs as an investor. Investing has never been easier, so what are you waiting for? Put those pennies to work!