SoFi Invest - Reviewed & Compared

Summary

SoFi Invest emerges as an enticing option for new investors with its $0 trading commissions and an appealing $1 account minimum. However, limitations in investment choices, particularly the absence of mutual funds and bonds, may pose a drawback, especially for those with long-term savings goals such as retirement.

Overview

SoFi Active Investing positions itself as a low-cost broker, emphasizing accessibility for novice investors. The platform allows for commission-free stock and ETF trades, and the option to purchase fractional shares from just $5. Notably, SoFi goes beyond mere trading, offering free financial counseling and a 2% match on all IRA contributions.

What They Do Best

• Commission-Free Trading: SoFi provides a cost-effective solution with $0 trading commissions.
• Fractional Shares: Enabling users to invest in fractional shares from $5, widening access to a range of stocks and ETFs.
• Exclusive Benefits: SoFi extends beyond a typical brokerage, offering financial planning services and a 2% match on IRA contributions.

MORE: What’s The Best Online Stock Broker Service?

Any Negatives

Limited Investment Choices: The platform's drawback lies in the restricted selection of tradable securities, particularly the absence of mutual funds. Lack of Bonds: Investors looking for a diversified portfolio might find the absence of bond options limiting.

MORE: What’s The Best Online Stock Broker Service?

Our Final Verdict: 9.6/10

SoFi Invest caters well to beginners and those seeking a holistic financial platform. The commission-free structure and unique features like fractional shares and exclusive benefits make it stand out. However, potential users should weigh these advantages against the limitations in investment options, especially if their strategy involves a broader range of securities like mutual funds.

GET STARTED