DEAR BLACK PEOPLE, The Top Brokerage Firms Report Card
For the past few weeks, Financial Joy School has given you a snapshot of various brokerage firms and brokerages, what they offer, and what they don’t. For each brokerage, we’ve given them a letter grade depending on how well, or how poorly, they work for you with regards to investing your hard-earned money.
We’ve done our homework and consolidated all our grades into one convenient investment firm report card. Without further ado, here is our final letter grade of each firm we’ve covered and our reasons why.
Our list is for EDUCATIONAL PURPOSES only, please do your own research.
TOP BROKERAGE FIRMS
Titan Invest: A-
Due to its supreme ease of use and low minimum of $5 per month, Financial Joy School gives Titan an A-. Through its simplicity and profitability, Titan is easily one of the best investment firms out there.
Cash App: B+
Cash App is an easy and fast-moving way to invest your money through their online platform. However, it is entirely too easy to pull money from your accounts without giving your investments time to grow over time. Due to this fact, you’re “too close” to your investment money and the draw to withdraw funds is too tempting. Therefore we give Cash App a B+.
M1 Finance: B
M1 Finance is an investment company that’s simple and easy to use. It is fantastic and intuitive whether you’re a first-time investor or a seasoned pro, and allows you to manage your account through an app on your mobile device or online. M1 allows its members to invest, spend, or borrow all on one straightforward platform.
Robinhood has no retirement account, therefore Financial Joy School gives this brokerage an A- overall. It is one of the better brokerages out there if you’re just starting out, so be sure to have a look and see if they’re the right fit for you.
Fidelity provides several different accounts to invest your money from brokerage accounts to retirement funds, however due to being somewhat hard to manage, we have given them a grade of B+.
Vanguard is another one of the “big boys” in the investment world. While this company has low fees, it is very technical with a hard platform to learn. Their website isn’t necessarily user friendly for new investors, and this has earned this company a B+.
Coinbase is easy to use and allows purchase of fractional shares in cryptocurrency, however, they earn a B+ because they only offer investments through crypto and do not have a retirement fund.
Public is a new way of investing, through an app that is actually a social network. You’re able to share investment information with people you meet through the app. While it might seem like an innovative idea, you can’t always trust the information going through this site. Quite often a “herd mentality” takes over if a stock does well rather than using one’s knowledge to research various investment opportunities. Because of this potential drawback, we give Public a C.
We hope you’ve learned a little more about investing your money and the various firms available to do so. The bottom line is to be smart with your money and realize investing isn’t the fast track to fast cash, rather, it’s a way to build generational wealth over time. With that “long haul” mindset, a little will power, and a lot of determination, you’ll be on your way to closing the racial wealth gap in no time.
Wells Fargo’s Intuitive Investor has no retirement account, therefore Financial Joy School gives this brokerage an A overall. It is one of the better brokerages out there if you’re just starting out, so be sure to have a look and see if they’re the right fit for you.
To learn more about investing, closing the racial wealth gap, and growing generational wealth for Black and brown families, please visit Financial Joy School and become a part of our financial family.