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Comparing Robinhood And Acorns: Which One To Choose?

If you are looking for an easy way to build your investment portfolio, both Robinhood and Acorns might be on your radar. Both of these services give an easy way to start investing, no matter what your experience level is. It can be difficult to decide between the two investing apps as each has its own strengths and weaknesses. It’s important to understand the pros and cons of each app before making a decision.

In this article, we will put the two against each other to give you a better idea of what to do. If you compare the two side-by-side, you can decide which is the better option for your needs and budget. Will there be a winner? Time will tell if there will be a winner.

Join us for a comparison match. We will show you the key features of each platform so you can make an informed decision.

Robinhood vs Acorns: How To Choose

To help you choose the best fit for you, we will be looking at what both investment apps have to offer. What products each app has, as well as its features and how everything works will be considered.

Before you make your final choice, you need to consider your current financial situation and what you hope to get out of investing. It’s important to consider any fees or commissions associated with each app as these can affect your return on investment.

The approach they take is slightly different than the easy way to invest they offer. Users are encouraged to take a hands-on approach. This can be seen in the features included in the products they offer. In every aspect of their business, the company is committed to providing the best quality products.

Understanding what each platform has to offer is the first step to figuring out which platform is best for you.

Acorns Products

Acorns offer five different products:

  1. Acorns Invest
  2. Acorns Later
  3. Acorns Spend
  4. Acorns Earn
  5. Acorns Grow

Depending on the account you sign up for, you can access these products. Depending on the features available, the cost of each account type will vary. Understanding what products are available can help you choose. It’s important to compare accounts and features to find one that’s right for you. Let’s look at each product individually. Let’s take 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299 888-353-1299

1. Acorns Invest

The main investment program is called Acorns Invest. It’s ideal for those looking to start investing with minimal upfront costs. You can use Acorns Invest to build your investment portfolio with a number of different strategies and ETFs.

You can use your credit card or debit card with Acorns Invest. Once you have connected your card, Acorns Invest will round up your purchases and invest the change into a portfolio tailored to your financial goals. When you make a purchase, the total is rounded up to the nearest dollar and the difference is saved. A diverse portfolio of stocks and bonds is then invested. Once the total savings reach $5.00,Acorns invests the money for you according to the strategies you have chosen. If you’re ready to make a withdrawal, Acorns will keep an eye on your account.

If you want to save even more money, Acorns Invest has tricks up its sleeve to help you do that. Anyone can start investing in their future, no matter their financial background or experience. You can use the Multipliers to add up the round-ups you save and invest. Over time, these multipliers can increase the amount you save and invest.

2. Acorns Later

With Acorns Later, you can start saving your retirement. One of the three IRAs is available to help you save money for later in life. It is important to research which IRA best fits your needs.

Roth IRA

To qualify for a Roth IRA, you need to be making less than $135,000 annually. If you’re under 49, you can make a maximum contribution of $5,500. The maximum contribution amount is increased if you are over 49. Contributions to a The fund will grow tax-free even though it is not deductible. If you prefer to pay taxes on the money upfront, theRoth IRA is an attractive option.

Traditional IRA

With a traditional IRA, your contributions are tax-deductible. Retirement withdrawal earnings are subject to tax. Before making a retirement withdrawal, it is important to understand the tax implications. The retirement age is stated by the IRS. It is important to remember that the age at which you can begin collecting retirement benefits may be different depending on your circumstances. Penalties may be incurred if you withdraw before retirement age. Before making a final decision, it is important to consider all of your options.

Learn More: Read our review of all the Best IRA Accounts of 2021.


SEP IRAs are for self-employed people. SEP IRAs provide financial security for self-employed individuals and are a great way to save for retirement. Contributions are tax deductible and will be taxed upon retirement. The IRS limits the amount of money that can be contributed to a IRA each year. Depending on the lesser amount, you can contribute up to $55,000 a year or 25% of your earnings.

If you don’t know which type of IRA is right for you, don’t worry, Acorns will choose the one that’s right for you. An IRA is a great way to save for retirement.

3. Acorns Spend

Acorns Spend is a checking account with a debit card and a number of features designed to help you save on hidden fees while growing your investments.

Acorns Spend comes with built-in ‘acorns.’ The round-up system is built to help you save money as you spend it. TheAcorns app will round up your purchases to the nearest dollar and invest the difference in a portfolio that you can personalize to fit your needs. Purchases from participating local businesses will help you save and invest more money. Local businesses often provide excellent customer service and unique products that you won’t find anywhere else.

Other Features of Acorns Spend Include:

  • Free bank transfers
  • No overdraft or minimum balance fees
  • Visa debit card
  • FDIC-insured account (up to $250,000)

4. Acorns Earn

Acorns Earn is a cashback program that earns you rewards when shopping from Acorns partners. You will need to link your card to your account in order to use it. It’s a great option for those who are new to investing, because you can start investing with as little as $5.

It can take up to 120 days for Found Money to show up in your account. There’s also a As you browse the internet and shop from your computer, the chrome extension can show you offers. The extension can save you time and money by notifying you of the best deals in a few clicks.

5. Acorns Grow

It’s a good fit for a new investor who wants to understand the world of finance more and more. It is a great starting point for building your financial knowledge, as well as an opportunity to take the first steps in creating a long-term investment strategy. A platform called Acorns Grow is available to help its customers. You can grow your financial knowledge by reading useful articles about saving, investing, earning, spending, and borrowing. Whether you’re new to budgeting or a veteran money manager, these resources can help you make the most of your finances.

Acorns Plans

When it comes to accounts, Acorns offer two different types of accounts – Lite and Personal. There is a difference in the features included in each plan. One of the plans has more features than the other. We will look at each plan individually to understand the differences.

Lite Plan

The cheapest option of the two is theAcorns lite plan. Automatic investing, round-ups and Found Money are included. The only products that are included in the lite plan are the Acorn Invest and Acorns earn. The Acorns Spend and Acorns Later accounts are not included in the lite plan. There are many articles written by financial experts. It is possible to get personalized advice on how to make the most of your money by consulting a financial advisor. You can grow your financial knowledge and save more money by doing this.

Personal Plan

The monthly fee was raised from $1.00 to $3.00. Everything that comes with the lite plan is included. A checking account that comes with a debit card is called Acorns Spend and it allows you to automatically save for retirement.

Acorns Investments

You can build your portfolio with a combination of investment tiers. It is easy to build a diversified portfolio with personalized portfolio advice from Acorns. The investment tier you choose, which represents how much risk you are willing to take, will determine what kind of ETFs your money will be invested in. The higher the risk, the greater the potential for reward or loss.


Exchange-Traded Funds are a collection of stocks and bonds that are bundled together to create an investment. Diversification benefits, often at a lower cost than buying the stocks and bonds directly, are provided by ETFs. You will be happy to know what these were created by Dr. Dr. John Bogle is a pioneer in the field of investing, and his ETFs are a great way to get started with your portfolio. Harry Markowitz won a prize in 1990. He is credited with founding modern portfolio theory, which deals with how investors allocate their assets across different classes of investments. The portfolios have been structured by industry giants. Both portfolios have been designed to give investors a low-cost investment solution.

Acorns Portfolios

The risk they present is taken into account when structuring the available Acorns Portfolios. The investment opportunities in the portfolios are tailored to the investor’s risk profile. They start at Conservative – where you can expect modest gains at low risk, all the way to Aggressive – which represents a considerably higher risk but can also grow much faster.

5 Acorns Portfolios

Conservative Portfolio
Asset Class Percentage (%)
Short-term Government Bonds 40%
Ultra Short-Term Government Bonds 20%
Ultra Short-Term Corporate Bonds 40%


Moderately Conservative Portfolio
Asset Class Percentage (%)
Government Bonds 30%
Corporate Bonds 30%
Real Estate Stocks 4%
International Large Company Stocks 8%
Large Company Stocks 24%
Small Company Stocks 4%


Moderate Portfolio
Asset Class Percentage (%)
Real Estate Stocks 6%
Government Bonds 20%
Corporate Bonds 20%
Emerging Market Stocks 3%
Small Company Stocks 10%
Large Company Stocks 29%
International Large Company Stocks 12%


Moderately Aggressive Portfolio
Asset Class Percentage (%)
Real Estate Stocks 8%
Corporate Bonds 10%
Government Bonds 10%
Emerging Market Stocks 4%
Small Company Stocks 14%
Large Company Stocks 38%
International Large Company Stocks 16%


Aggressive Portfolio
Asset Class Percentage (%)
Real Estate Stocks 10%
Emerging Market Stocks 10%
Small Company Stocks 20%
Large Company Stocks 40%
International Large Company Stocks 20%

Acorns Portfolio Rebalancing

Once your money is invested, that investment will grow or shrink depending on the performance of the underlying ETFs, stocks, and bonds. From time to time, the portfolio will be rebalanced. The risk level of the portfolio should be the same as when you set it up. It is important to make sure that your portfolio is in line with your financial goals.

Let’s assume you have been investing your saved money in the Moderately Conservative Portfolio. The Moderately Conservative Portfolio will typically provide an attractive return over a long period of time. Over the course of a few months, real estate stocks start performing well and accumulate enough value that they exceed the allocated 4%. When investors notice the potential of real estate stocks, they begin to invest heavily in these assets.

Real estate stocks are riskier than government bonds, so your portfolio is exposed to bigger risks. Ensuring that you are properly managing the increased risks associated with investing in real estate stocks is important. To keep things in check,Acorns will sell excess real estate stock and invest that money in additional government bonds to keep the moderately conservative risk appetite that you are comfortable with.

All of it is done in the background. It’s easy to forget about the work that needs to be done when you focus on the end result. You will not have to worry about the performance of each asset class in your portfolio because Acorns will take care of the rest. You can focus on other important aspects of your life if you are reassured that your investments are in safe hands.

This is usually done on a quarterly basis. Depending on the type of business, it can be done on a monthly or yearly basis. A withdrawal or deposit can cause a rebalancing exercise to keep everything in check.

Key Features of Acorns

  • Automatic investing through spare change roundups
  • $5.00 account minimum to start investing with the Acorns app
  • Retirement plans available
  • No cryptocurrencies
  • Fractional shares available

Robinhood Products

Robinhood offers a more hands-on approach to investing, and we can see this from the products they offer. There are 4 products on offer, including:

  1. Stocks and Funds
  2. Options
  3. Crypto
  4. Cash Management

There are three account options that start from Cash, Instant, and Gold. You can open long and short positions with the Robinhood Gold account. When you upgrade, you don’t get access to more products. You don’t have to pay monthly fees for basic Acorns services. Better terms will be given to the products that you already use. You will be able to explore new products and services with better terms.

1. Stocks and Funds

You can have unlimited commission-free trades on stocks, mutual funds, ETFs, and options in an individual taxable account. It’s easy to get started with the platform, and you can manage your investments from anywhere.

You can invest in stocks that are out of your budget with fractional shares. You can increase your returns without breaking the bank with fractional shares. You can buy a fraction of a share here, which will allow you to invest in a company whose shares would otherwise be out of reach. You can access new investment opportunities that have previously been out of reach.

2. Options

You can buy or sell an underlying asset through options. The options are usually standardized in terms of quantity, quality and expiration date so that buyers and sellers know what they are buying and selling. A number of things can be contained in the asset. The value of assets can change over time. As part of a broader strategy, options can be useful to hedge risk. They can be used to maximize returns by taking advantage of market movements.

3. Crypto

You can trade cryptocurrencies 24/7. It is possible to trade cryptocurrencies with ease and security. There are a number of different currencies to choose from. These currencies can be traded on various online platforms, making them an exciting investment opportunity. Any deposited funds are immediately made available for trading.

Cryptocurrencies are not available in all states. Before trading cryptocurrencies on the platform, it is important to research the regulations of your state. As such, if this is something that is important for you, do check availability before going forward with a Robinhood account.

4. Cash Management

Cash Management offers a cash account that comes with a There is a Mastercard credit card with an annual percentage yield. It is an attractive choice for those looking to maximize their savings to use a Mastercard credit card. There are a number of different bank accounts with interest paid on a monthly basis. You can be sure that your money is safe and secure.

Cash Management account features

  • FDIC insured up to $250,000 per bank
  • Over 75,000 fee-free ATMs
  • No minimum balance
  • No transfer fees
  • Interest paid monthly

Robinhood Plans

You can choose from a number of different plans to find the right one for you. Whether you are a beginner investor or an experienced trader, Robinhood has the perfect plan to help you reach your goals. We will look at what each one has to offer. It’s important to consider the pros and cons of each option before making a decision.

Robinhood Cash

Robinhood Cash is the most basic account that the company offers. It doesn’t require a minimum balance to open and gives access to market data and stock trading. You will need to change to Robinhood Cash if you have new accounts. At any time, you can do this. Robinhood Cash is not a margin account and does not offer instant deposits or settlements. Cash in the account is not eligible for protection.

Robinhood Instant

The default account type is Robinhood Instant. When selling stocks or making deposits of up to $1,000, the margin account offers instant deposits and fast settlements. You can make better decisions in the stock market with access to sophisticated trading tools and options.

Robinhood Gold

It’s the highest-tier account on offer. It can help you get the most out of your investments. Robinhood Gold will cost you $5.00 a month and is not free. Premium features include larger instant deposits and margin trading. You will get bigger instant deposits, access to research, and investing on margin with this fee. You will have access to personalized advice from financial professionals, which will give you the confidence to make informed decisions about your investing.

Robinhood Investments

There is a more hands-on approach to investing. You can easily manage your investments from any device. There are a few different investment opportunities because of this. You can reduce risk by investing in these investment opportunities. Robinhood doesn’t offer risk portfolios. It is important to be aware of the risks associated with trading, as Robinhood does not offer traditional financial advice or guidance. It is up to you to hedge your portfolio in a way that reflects your expectations. No one strategy will guarantee success in the stock market.

  • Stocks. A number of stocks from major companies listed on NASDAQ and NYSE
  • ETFs. Exchange-Traded Funds as available on NASDAQ and NYSE
  • Options Contracts. Available on Stocks and ETFs
  • Cryptocurrencies. Invest in a number of cryptocurrencies including Bitcoin and Ethereum
  • ADR is short for American Depository Receipts with over 250 available from global companies

Order Types

These are the different types of orders that you can place through your Robinhood account:

  • Market Order. Market orders are filled upon reaching the next best price
  • Limit Order. Limit orders put a limit on the maximum buy and minimum sell prices
  • Stop Loss Order. Stop loss orders force a buy or a sell when a specific price is reached
  • Stop Limit Order. Stop limit order limit orders upon meeting a specific price

It is up to you as an investor to decide which financial assets you should buy and sell. It’s your responsibility to stay informed and make sure you’re making the right decisions for your investment goals. If you want to learn more about the world of investing and finance, you can check out the library of articles through the learning center. If you need additional guidance, don’t hesitate to reach out to the team at Robinhood.

Key Features of Robinhood

  • Different financial assets to invest in
  • No minimum to start investing
  • Retirement plans not available
  • Cryptocurrencies available
  • Fractional shares available

Acorns vs Robinhood: Side By Side Comparison

In order to understand the differences between the two apps, we need to compare them side by side. You can make an informed decision about which app is best for your needs after carefully weighing the pros and cons of each app.

To compare the main differences between the two apps, use this chart. The chart will show you which app is best for you.

Robinhood Acorns
Minimum Balance None None
Minimum Investment $1.00 $5.00
Investment Strategy Transfer funds to invest in stocks, ETFs, Options, and Cryptocurrencies Rounds up spending; Automatically invests in chosen portfolio
Account Options and Pricing Robinhood Cash – $0

Robinhood Instant – $0

Robinhood Gold – $5 monthly

Acorns Lite – $1 monthly

Acorns Personal – $3 monthly

Cash Account Yes Yes
Retirement Account No Yes
Crypto Yes No
Fractional Shares Yes Yes

Why Invest?

Investing has never been so easy. You can start building your portfolio with a few clicks thanks to the internet and investment tools. Investing can be both easy and fun. Staying consistent is the key to successful investing.

There is an easy and accessible entry into the world of investing. Anyone with an interest in investing can start with these platforms. Robinhood was the pioneer of this. The app’s influence on the financial industry is obvious. It used to be that you had to find a broker who would place the order for you.

Robinhood and Acorns are democratizing investing in more ways than one.


When it comes to choosing between the two, we answer some of the most frequently asked questions.

Is Robinhood or Acorns better?

The better option is going to be the one that best suits your circumstances and financial health, because Robinhood and Acorns take a slightly different approach to investing money. Make sure that the investing strategy you choose is in line with your long-term financial goals by doing your research.

If you are looking for something that is more hands-off, then Acorns is the better option. It’s a great way to start investing in the stock market without having to worry about managing your investments on a daily basis. If you want to have more control over your investments, you might want to look into Robinhood. You can invest in companies with larger share prices without having to purchase a full share.

What is the difference between Acorns and Robinhood?

The approach they take is very different and they are both excellent investment platforms. Robinhood gives investors the ability to make their own investment decisions, while Acorns gives investors a more hands-off approach to investing. Understanding the difference can help you make the right choice. It’s important to consider the pros and cons of each option before making a decision.

When it comes to investing, Acorns is more suited for beginners. Getting started in the world of investing is very easy with Acorns. Anyone can use the platform, regardless of their experience level.

More freedom is offered by Robinhood. It is possible to access the stock market with no fees or commissions. It is great for seasoned investors who have been investing in the stock market for a while, as well as for those who are just starting out with investing. Investing in the stock market can be a great way to grow your wealth.

Is Acorns a good investment?

It’s a good investing product. It is easy to use and safe. It’s free to sign up and start. It’s great for those looking to start investing – and those looking to discover how fun it is. It isn’t the ideal investment app for everyone. Before you make a decision on an investment app, it is important to research all available options. If you want lots of investment options (and a lower fee on smaller balances), then other options like Betterment or Wealthfront might be better.

What is better than Robinhood?

I think it’s a great investment app and a fantastic option for new investors as well as those who are not new to the game, and have had an investment account elsewhere. Its fees are very competitive and it has a wide range of features. The thing I really like about it is that it makes me a better investor – I think that is very important. To strive for success, you need to understand the value of education. It depends on what you’re looking for, each investment app is different. Do your research and understand the risks before investing, no matter which app you choose.

Check out my list of best investment apps for 2021 – you’ll see the likes of apps like Betterment and Stash on this list. Sometimes the best thing to do with a mobile app is to try it first before making a decision.

Robinhood vs Acorns: Which App Is Best For You?

Both investing platforms offer a lot of great features that can improve your personal finance by opening the doors to investing, but they are quite different. It is important to understand the differences between the two platforms so that you can make an informed decision about which is best for you.

If you want to start integrating investing into your everyday life with most of it done automatically for you, then a cool micro- investing app like Acorns is a great option. You will feel less of a pinch and be able to grow your portfolio with its spare change round-up feature. Setting the round-up feature to match your own budget will give you complete control of your savings.

Acorns charges only $1 a month, so you won’t have to worry about high management fees. You can use a variety of helpful tools to manage your investments. If you want more control over your investments, it may not be the best investment app for you. If you are looking for a more hands-on approach, you may want to look into other investment apps that allow you to invest in individual stocks, mutual funds, index funds and bonds.

If you want more investment options, and are interested in stock trading and managing your own portfolios, then the Robinhood investment app is for you. Those who want to take their stock trading and portfolio management into their own hands can use the Robinhood investment app. You can choose from a variety of financial instruments. It is important to understand the risks associated with each financial instrument in order to make wise investments.

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