Which Investing App is Proper for You?

You’re prepared to start your funding journey, however it could really feel overwhelming to decide on the appropriate platform with so many choices on the market. We get it—and we’ve bought you lined.

Robinhood and Public.com are two of the most important names within the recreation. How do you resolve which one is best for you? We all the time advocate studying about funding platforms earlier than you utilize them.

On this Public vs Robinhood overview, we’ll reveal what makes these two platforms related, in addition to what makes every distinctive. We’ve included details about options, the consumer expertise, charges and prices, and our tackle which kind of investor every platform is greatest suited to.

By the point you’ve completed studying, you’ll have a deal with on how Public and Robinhood evaluate and which platform it’s best to use to begin investing.

Overview of Robinhood and Public.com

Let’s begin with an outline of every platform to present you a stable base of understanding of what every has to supply.

Robinhood

Robinhood is a mobile-first digital buying and selling platform that bought its begin again in 2013, when Vladimir Tenev and Baiju Bhatt integrated as Robinhood Markets, Inc. Their aim was to democratize investing by making it free, straightforward, and addictive. They launched the Robinhood app in March of 2015. The corporate is a licensed broker-dealer and a member of the Securities Investor Safety Company, SIPC.

In its early years, a lot of the corporate’s progress was achieved by buying corporations reminiscent of Say Applied sciences, Cove Markets, X1, and Chartr. 

They’ve additionally grown by frequently providing new merchandise. Once they first introduced the addition of cryptocurrency to their listing of obtainable property in 2018, they’d a ready listing with two million members, and had a similarly-long listing 4 years later after they launched their crypto buying and selling pockets.

Key options of Robinhood embrace buying and selling shares, ETFs, and cryptocurrencies; a safe crypto pockets; and a easy and intuitive consumer interface.

Public

Public.com is an investing platform designed to make market investing accessible to all individuals. The corporate bought its begin in 2019 and have become the primary to permit for commission-free fractional share investing, one thing that many different platforms, together with Robinhood, have since adopted. (Fractional shares aren’t new and Public.com didn’t invent them, they simply democratized them.)

Public is a licensed broker-dealer and a Monetary Trade Regulatory Authority, FINRA member.

One of many issues that makes Public distinctive is the neighborhood facet of their app. Whereas there are different funding instruments which have a social facet, of which In search of Alpha is an instance, Public was the primary investing app to introduce that factor.

Different key options embrace entry to a wide range of funding property, prolonged buying and selling hours, crypto buying and selling, fractional buying and selling, clear charges, and no charges for order move on shares and ETFs.

Professional Tip:

Enroll with Robinhood at the moment! You may refer buddies to earn as much as $1500 per 12 months in FREE STOCK!

As of 2024, Public.com has greater than three million customers (up from lower than a million on the finish of 2020) and an estimated worth of $1.2 billion. 

We’ll get into extra element concerning the charges charged by Robinhood and Public later on this overview.

Public vs Robinhood – Options Comparability

Let’s do a deeper dive on crucial options of Public and Robinhood.

Buying and selling Expertise

The buying and selling expertise on Robinhood is supposed to be user-friendly and easy, and it delivers on each counts. Utilizing the Robinhood app or internet platform, it’s straightforward to provoke trades. The truth is, a commerce could also be accomplished in just some minutes and with a couple of clicks, even for energetic merchants trying to conduct choices buying and selling.

The cellular buying and selling expertise on Public.com can be clean and user-friendly. Trades and gross sales might take lower than a minute to finish. It’s additionally straightforward to fund your account and withdraw funds to your financial institution.

When it comes to buying and selling expertise, we’d say it’s a tie. Each platforms are straightforward to make use of and supreme for inexperienced persons.

Professional Tip:

Enroll with Robinhood at the moment! You may refer buddies to earn as much as $1500 per 12 months in FREE STOCK!

Funding Choices

Robinhood affords a number of sorts of funding choices. It bought its begin by permitting funding in simply two asset lessons: shares and exchange-traded funds (ETFs). It has since expanded to permit for funding in 20 cryptocurrencies, together with Bitcoin, Ethereum, Dogecoin, and USDC. At the moment, it’s not doable to commerce bonds or mutual funds on Robinhood, and that may pose a problem on the subject of portfolio diversification.

There’s additionally an choice to arrange an IRA with Robinhood and get matching funds: 1% for normal members and three% for Robinhood Gold members. 

On Public.com, customers can commerce shares, ETFs, choices, cryptocurrencies, American Depositary Receipts, fractional shares, and bonds. The inclusion of bonds is helpful as a result of it’s straightforward to diversify your portfolio. In complete, Public.com permits for buying and selling of 16 crypto cash by means of Bakkt Crypto. (It’s necessary to notice that Bakkt Crypto isn’t affiliated with Public.com and never a FINRA member.) 

Public com doesn’t have a retirement account, however they do supply a high-yield financial savings account that pays 4% APR, in addition to a high-yield bond account that pays 6.8%. 

Charges and Prices

Each Public and Robinhood trades are topic to regulatory charges, and people charges are handed on to you as a consumer. Right here’s a rundown of the opposite charges which will apply.

Robinhood prices $0.50 as an index choices buying and selling charge without spending a dime members, and $0.35 for Robinhood Gold members. ACH transfers are free, however there’s a $25 charge for outgoing wire transfers. There’s a full slate of regulatory charges, most of that are simply fractions of a penny. You will discover the total charge desk right here.

Public prices a flat charge of $2.99 for trades made throughout prolonged market hours and for OTC trades, not nice for extra energetic merchants. It additionally prices for multi-asset funding plan trades, which value between $0.49 and $1.99 without spending a dime customers. There’s a $75 charge to switch your property to a different dealer, and there may additionally be charges concerned if you wish to switch cash to your financial institution through wire. Try their full charge schedule right here.

Each platforms have a premium possibility. Robinhood Gold prices $5 monthly or $50 per 12 months, whereas Public Premium prices $10 monthly or $96 per 12 months. Each plans supply customers the prospect to economize on charges and entry further options.

Professional Tip:

Enroll with Robinhood at the moment! You may refer buddies to earn as much as $1500 per 12 months in FREE STOCK!

Cellular App Usability

Robinhood’s cellular app is well-reviewed and in style. The interface is designed to be really easy to make use of that inexperienced persons can bounce in and begin buying and selling instantly. It’s bought a easy and easy-to-navigate menu. You will get assist throughout the app if you want it, and you can even entry Robinhood’s instructional sources to be taught extra about buying and selling earlier than you bounce in.

Public’s app is likewise nicely regarded and straightforward to make use of. Trades might be positioned with just some faucets and it’s straightforward to entry assist and sources. Novices can begin buying and selling instantly they usually may study investing on the app.

The 2 apps have almost similar star scores. Within the Google Retailer, Robinhood’s app will get 4.2 stars out of 5, and Public’s app will get 4.1 stars.

Who Ought to Use Public vs Robinhood?

If you happen to’re somebody who desires a brief listing of investments which are straightforward to know, and an app that’s beginner-friendly, then Robinhood could also be your only option. You gained’t get entry to bonds and another asset lessons, however you’re going to get entry to a wide selection of shares, ETFs, and cryptocurrencies. 

We might additionally advocate Robinhood for anyone who doesn’t have an employer-sponsored retirement account. Robinhood affords 1% matching without spending a dime members and three% for Robinhood Gold members.

Public.com affords a wider array of asset lessons for investments, together with bonds and choices. It’s nonetheless a great platform for inexperienced persons, however is perhaps barely extra advantageous for intermediate to superior buyers. 

We just like the social and neighborhood facet of Public, too. If you happen to’re somebody who likes to swap concepts with different buyers, then Public has the sting in that regard, along with each platforms having superior analysis instruments.

Since each apps are free to make use of, it could be advantageous to arrange accounts on each and see which one you favor.

Public vs Robinhood – Person Expertise Comparability

Robinhood customers have a number of good issues to say concerning the consumer interface and the general expertise of utilizing the app. Individuals additionally reward the IRA contribution matching, low margin charges, and money sweep. Among the complaints embrace sluggish customer support response instances for requests submitted by means of the app and the shortage of detailed funding monitoring options. Most opinions remark that the app is greatest suited to inexperienced persons.

One of many issues that stood out as we learn Public.com opinions is that the group there may be continuously working to enhance the app. They’re aware of opinions. Customers have praised the app’s straightforward navigation and deposit mechanism, which permits customers to deposit funds utilizing a debit card and withdraw again to the cardboard, too. Probably the most widespread complaints is that extra options are being paywalled, reminiscent of extra superior analysis instruments. One other is the shortage of superior charting choices. 

General, we’d say the Robinhood UX is right for inexperienced persons whereas Public is barely extra advanced and affords extra choices for superior customers.

Conclusion

The underside line when evaluating Public vs Robinhood is that each apps supply a streamlined consumer expertise. We’d say that Robinhood is greatest suited to newbie buyers or those that need to reap the benefits of IRA matching contributions, whereas Public has a couple of extra bells and whistles which will attraction to extra skilled buyers.

Neither platform is admittedly suited to in-depth funding analysis and charting, so it’s possible you’ll must improve to premium or to make use of these apps at the side of an funding analysis platform to get the perfect outcomes.

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