Stash vs. Acorns: Which Broker Is Right for You?

Stash has been around since 2015, while Acorns opened as a brokerage in 2012. Compared to established brokerages like Charles Schwab (founded in 1971), Stash and Acorns feel a lot like newbies. But there's nothing novice about the way either company does business.

Here, we offer an overview of Stash vs. Acorns, examining everything from commissions to fees and available investments. By the end, you should have a better understanding of each broker and a sense of whether either would be a good fit for you.

Comparing commissions and fees is relatively straightforward given how uncomplicated both Stash and Acorns are. Neither broker charges commissions, although both charge a flat monthly fee. If you invest with Stash, that fee is either $3 or $9 per month, depending on which plan you choose. With Acorns, the monthly fee is $3, $5, or $9, depending on the plan.

While paying a monthly fee instead of commissions may sound good, it only makes financial sense if you invest with a platform often enough to make it worth the annual cost. For example, with Acorns, you could pay a total of $36, $60, or $108 annually. If you rarely invest, the monthly fee you pay may be higher than the commissions you would have paid with a more traditional broker.

Investors can purchase stocks through Stash but not with Acorns. However, Acorns does allow ETF trades as part of a robo-advisor portfolio. Stash offers fractional shares, but Acorns does not. Neither broker offers options, mutual funds, CDs, futures, or currencies.

With such limited investments available, it would be tough to build a diversified portfolio without investing through another brokerage, too.

The good news is this: Stash and Acorns both provide taxable brokerages, robo-advisor services (excellent for beginners), traditional IRAs, Roth IRAs, custodial accounts, and checking accounts. It's not a full menu of services, but it's quite good.

Stash alone offers a savings account and credit card for customers who want to keep all their accounts in one place.

Whether working or retired, many of today's investors spend their lives on the go. That's the primary reason the quality of mobile apps and trading platforms is so important. Here's a quick look at what Stash and Acorns have to offer.

Trading platform

Both platforms are informative if what you're looking for is basic information. If you're just getting started, this is precisely the kind of information you'll need to know. However, neither platform makes it easy to find more in-depth data, the kind of information that will help you grow as an investor.

Still, if you're at all intimidated by the intricacies of investing, you may appreciate that both Stash and Acorns provide a user-friendly platform.

Mobile apps

A segment of Android users are not thrilled with the Stash mobile app, giving it a rating of 3.7 out of 5 stars. They seem to feel better about the Acorns app, rating it at 4.6 out of 5 stars.

iOS users appear to be happy overall, with both the Stash and Acorns apps earning a respectable 4.7 out of 5 stars.

Despite Stash and Acorns being newer brokerages, they offer several excellent features, including:

• Excellent brokerages for new investors to get their start and gain confidence
• Each makes it easy to contact customer service by phone or email
• Both offer robo-advising for those who prefer a hands-off approach to investing

If you're a brand new investor looking to get started, both Stash and Acorns are good brokerage options. However, if you desire a broker with a fuller range of investment options to offer, you may be happier with a competitor.