In 2025, investing has become much easier, especially for beginners. Thanks to investment apps, you can now start building wealth right from your phone. A recent survey shows that 60% of millennials and Gen Z are using mobile apps to invest.
These apps are great for beginners because they have low fees, are easy to use, and let you invest with just a few dollars. Whether you want to save for a house, retirement, or just build financial freedom, picking the right app is a smart first step.
This guide will help you understand how investment apps work, what to look for, and which ones are best in 2025.
What Are Investment Apps?
Investment apps are tools on your phone or computer that help you buy and manage investments like:
- Stocks
- ETFs (Exchange-Traded Funds)
- Bonds
- Cryptocurrencies
There are two main types:
- Self-directed apps: You pick your own investments (like Robinhood or Webull)
- Robo-advisors: These apps manage your investments automatically using algorithms (like Betterment or Wealthfront)
These apps are great for beginners because they usually have:
- No or low minimum deposit requirements
- Fractional shares (buy a small piece of a stock, like $10 worth of a $200 stock)
- Educational resources (like videos, tips, and guides)
- Low fees or no commissions
Some, like Acorns, even invest your spare change from everyday purchases automatically. But you still need to watch out for market risks and hidden fees, like fund expense ratios.
Key Features to Look for in Investment Apps
Before choosing an investment app, look for these important features:
- Low or No Fees: Avoid apps with high charges. Most apps in 2025 offer free trading. For robo-advisors, fees should be around 0.25–0.4% per year.
- Easy to Use + Educational Tools: As a beginner, you’ll want an app that’s simple to navigate and helps you learn. Some apps have built-in tutorials or calculators to help you plan.
- Investment Options: Make sure the app offers a mix of stocks, ETFs, crypto, and bonds so you can build a diversified portfolio.
- Security Features: Look for SIPC insurance (protects up to $500,000) and two-factor authentication to keep your money safe.
Top Investment Apps for Beginners in 2025
Here’s a quick comparison of the best beginner-friendly apps this year:
| App | Key Features | Best For | Annual Fee(for $5,000 Portfolio) |
|---|---|---|---|
| Robinhood | Commission-free trades, fractional shares, crypto trading, easy-to-use app. | Self-directed investors wanting flexibility | $0 |
| Acorns | Round-up investing, automated portfolios, budget-friendly plans. | Beginners with small budgets | $12–$36 |
| Wealthfront | Automated investing, tax-saving tools, diversified portfolios, 0.25% fee. | Hands-off investors | $12.50 |
| Fidelity | No-fee index funds, strong research tools, beginner-friendly retirement accounts. | Long-term investors who want to learn | $0 |
App Highlights:
- Robinhood: Lets you trade stocks, ETFs, options, and crypto with no fees. You can buy small pieces of expensive stocks. Great for beginners who want control.
- Acorns: Automatically invests your spare change. For example, if you buy coffee for $3.50, it rounds it up to $4 and invests the $0.50. Very simple and perfect for those starting small.
- Wealthfront: A robo-advisor that handles everything for you, including smart tax-saving features. It’s great if you want to invest but don’t want to manage it yourself.
- Fidelity: Offers free index funds, retirement accounts, and lots of tools to help you learn about investing. Great for long-term investors.
To explore more, you can check comparison sites like NerdWallet or Investopedia.
How to Start Investing with an App
You can start investing in just a few steps:
- Choose and Download an App: Pick the app that fits your goal. For example:
- Use Acorns to save small amounts.
- Use Robinhood if you want to pick your own stocks.
- Link a Bank Account: Most apps need a connected bank account so you can add money. Some apps have no minimum deposit, while others (like Wealthfront) require $500.
- Set Your Goals: Know what you’re investing for—retirement, a house, or just to grow wealth. Some apps help you plan by showing how much to invest each month.
- Start Small and Diversify: Even investing $10/week is a good start. Use ETFs or index funds to spread your risk across many companies.
Use the tools inside the app to automate your deposits and track your progress. Check your investments every few months to stay on track.
Common Mistakes to Avoid When Using Investment Apps
Avoid these common beginner mistakes:
- Overtrading: Some apps make investing feel like a game, which can lead to buying and selling too often. This adds tax costs and hurts long-term growth.
- Ignoring Fees and Taxes: Even if trading is free, some investments (like ETFs) have expense ratios or robo-advisor fees. Also, selling too soon can lead to higher taxes.
- Not Doing Research: Don’t just buy what’s trending. Take time to understand each investment. Use app resources or trusted sites like Investopedia.
Other mistakes include:
- Following hype (like meme stocks)
- Not rebalancing your portfolio
- Not having a long-term plan
Final Thoughts
In 2025, investment apps make it easy for anyone to start building wealth. Whether you use Robinhood, Acorns, or Wealthfront, you can invest with low fees and helpful tools—even if you’re just starting out.
Pick an app that matches your goals, start with small amounts, and focus on long-term growth. Avoid frequent trading and keep learning as you go.
Ready to start? Visit a comparison site like NerdWallet, or download a trusted app like Fidelity to begin your investment journey. With the right app, your path to financial freedom can start today.