Introduction
Investing in the stock market can be daunting, especially if you are a beginner. However, with the advent of fractional share investing, it has become a lot easier for everyone to invest in the stock market. Fractional share investing allows you to buy a portion of a share, making it affordable and accessible for everyone.
What are Fractional Shares?
Fractional shares are a portion of a full share of a particular stock. It allows investors to buy a fraction of a share, making it more affordable for them. For example, if a share of a company costs $500, you can buy a fraction of that share, say $50 worth of that share.
Why Invest in Fractional Shares?
Fractional share investing allows you to diversify your portfolio without having to spend a lot of money. It also allows you to invest in expensive stocks that you wouldn’t be able to afford otherwise. Moreover, fractional share investing is a great way to start investing in the stock market if you are a beginner.
Best Apps for Fractional Share Investing
1. Robinhood
Robinhood is a commission-free trading platform that allows you to buy and sell fractional shares of stocks, ETFs, and cryptocurrencies. It has a user-friendly interface and is great for beginners. Robinhood also offers a cash management feature that allows you to earn interest on your uninvested cash.
2. SoFi Invest
SoFi Invest is a commission-free trading platform that allows you to buy and sell fractional shares of stocks and ETFs. It also offers automated investing and a cash management account that allows you to earn interest on your uninvested cash. SoFi Invest is great for beginners and offers a variety of educational resources to help you learn more about investing.
3. Acorns
Acorns is a micro-investing app that allows you to invest your spare change. It also offers fractional share investing, allowing you to buy a portion of a share of a particular stock. Acorns also offers automated investing and a cash management account that allows you to earn interest on your uninvested cash.
4. Stash
Stash is a commission-free trading platform that allows you to buy and sell fractional shares of stocks and ETFs. It also offers automated investing and a cash management account that allows you to earn interest on your uninvested cash. Stash is great for beginners and offers a variety of educational resources to help you learn more about investing.
5. M1 Finance
M1 Finance is a commission-free trading platform that allows you to buy and sell fractional shares of stocks and ETFs. It also offers automated investing and a cash management account that allows you to earn interest on your uninvested cash. M1 Finance is great for intermediate investors who want more control over their portfolio.
Conclusion
Fractional share investing is a great way to start investing in the stock market. It allows you to diversify your portfolio without having to spend a lot of money. The apps mentioned above are some of the best apps for fractional share investing in 2023. Choose the app that suits your needs and start investing today.
