When people think of investing the first thing that usually comes to mind is stock trading. Getting into stock trading can be intimidating, especially with the fees that are associated with trades. That is why Robinhood was created. With no commission fees and a $0 minimum opening balance, literally, anyone can invest spare money even if it may be only $10. Robinhood is best used for basic stock trading, although the online brokerage has been unveiling new developments like options, cryptocurrencies, and more foreign companies like Adidas were recently added. As with most brokerages, a bonus offer is available for first-time users. However, most of these “bonuses” are a few hundred dollars for investors with initial deposits ranging from $10,000 to well above that. Robinhood’s bonus is free stock in the typical method of referring a friend promo in order to attract audiences. If you use this link, you have a chance of earning free stock like Apple or JPMorgan Chase.
Speaking of JPMorgan Chase, they have been stirring up Wall Street lately. In order to compete with low commission traders like Charles Schwab and free brokerages like Robinhood, J.P. Morgan Chase released You Invest. Accessible through the Chase app, You Invest requires no minimum balance and offers commission-free stock and ETF trades for your first 100 trades. It is $2.95 per trade thereafter, which is still disruptive to other brokerages considering the average runner-up offers $4.95 per trade. Coming in 2019 You Invest members will have the option of investing in a portfolio designed and managed by experts at J.P. Morgan. Therefore, if you do not feel comfortable stock picking yourself nor have the interest in managing your portfolio, this option will cover all this.
In conclusion, these are just two low-cost brokerages a college student can utilize in the first stages of stock trading. If you are a student outside of a finance major, interested in learning more about the field, FIN 290 Finance for Non-Business Majors taught by a former professor of mine, Barbara Fuzesi, will certainly shed light on how be financially independent.