Introduction
SoFi, short for Social Finance, Inc., has quickly become a household name in the world of personal finance. Known originally for student loan refinancing, SoFi has expanded into a wide range of financial services—including investing. SoFi Investing is part of the SoFi app and offers a user-friendly way for people to invest in stocks, ETFs, and even cryptocurrencies. Whether you’re a first-time investor or just looking for a low-cost, mobile-friendly option, SoFi Investing is worth a closer look.
What Is SoFi Investing?
SoFi Investing is an online investment platform that allows users to buy and sell various financial assets without paying commission fees. It is designed to make investing accessible, especially for beginners, while still offering enough tools and features to be useful for more experienced investors.
The platform is part of SoFi’s all-in-one financial ecosystem, which also includes banking, credit cards, loans, and budgeting tools. Everything is managed through the SoFi mobile app or website, making it easy to oversee your finances in one place.
Key Features of SoFi Investing
Commission-Free Trades
SoFi offers $0 commission trades for stocks and ETFs. This makes it a low-cost option compared to traditional brokerages.
Automated Investing (Robo-Advisor)
If you’d rather have your investments managed for you, SoFi offers a free automated investing feature. You answer a few questions about your goals and risk tolerance, and SoFi builds and rebalances a diversified portfolio for you.
Fractional Shares (Stock Bits)
SoFi allows users to invest in fractional shares, meaning you can buy a piece of a stock with as little as $5. This is ideal if you want to invest in big-name companies like Apple or Amazon without spending hundreds of dollars on a full share.
Crypto Investing
SoFi also offers access to popular cryptocurrencies like Bitcoin, Ethereum, and more. While the selection is limited compared to dedicated crypto platforms, it’s a convenient way to dip your toes into digital assets.
Educational Resources
SoFi provides a library of educational content, including articles, videos, and webinars, to help users learn about investing and make informed decisions.
No Account Minimum
There’s no minimum balance required to open a SoFi Investing account, which lowers the barrier to entry for new investors.
SoFi Member Benefits
Investors also get access to exclusive perks, such as financial planning sessions with certified advisors and discounts on other SoFi products.
Types of Accounts Offered
- Individual Brokerage Accounts
- Retirement Accounts (Traditional and Roth IRAs)
- Joint Accounts
- Crypto Accounts
Pros and Cons of SoFi Investing
Pros:
- $0 commission fees
- Easy-to-use mobile app
- Automated investing option
- Access to financial advisors
- Fractional shares available
Cons:
- Limited advanced trading tools
- Smaller selection of assets compared to full-service brokers
- Crypto trading has a spread fee (not commission-free)
Conclusion
SoFi Investing is a solid choice for beginners and casual investors who want a simple, low-cost way to get started in the stock market. With its combination of automated investing, commission-free trades, and user-friendly tools, it’s ideal for those looking to build long-term wealth without getting overwhelmed. While it may not satisfy active traders who want complex tools and in-depth research, SoFi offers a strong foundation for anyone interested in growing their money over time.
