Robinhood vs Public.com: Which Investing App is Right for You?

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

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

On this Public vs Robinhood assessment, 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 finest fitted to.

By the point you’ve completed studying, you’ll have a deal with on how Public and Robinhood examine and which platform it is best to use to start out investing.

Overview of Robinhood and Public.com

Let’s begin with an outline of every platform to offer 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 objective was to democratize investing by making it free, simple, 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 resembling 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 record of obtainable belongings in 2018, that they had a ready record with two million members, and had a similarly-long record 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 folks. 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 only 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 group facet of their app. Whereas there are different funding instruments which have a social facet, of which Searching for Alpha is an instance, Public was the primary investing app to introduce that aspect.

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

Professional Tip:

Enroll with Robinhood right now! You’ll be able to refer mates 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 in regards to the charges charged by Robinhood and Public later on this assessment.

Public vs Robinhood – Options Comparability

Let’s do a deeper dive on an important 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 net platform, it’s simple to provoke trades. In reality, a commerce could also be accomplished in only a few minutes and with a number of clicks, even for lively merchants seeking to conduct choices buying and selling.

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

By way of buying and selling expertise, we’d say it’s a tie. Each platforms are simple to make use of and superb for inexperienced persons.

Professional Tip:

Enroll with Robinhood right now! You’ll be able to refer mates to earn as much as $1500 per 12 months in FREE STOCK!

Funding Choices

Robinhood presents a number of kinds 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. Right now, it’s not potential to commerce bonds or mutual funds on Robinhood, and that may pose a problem relating to 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 simple to diversify your portfolio. In whole, Public.com permits for buying and selling of 16 crypto cash by way of Bakkt Crypto. (It’s necessary to notice that Bakkt Crypto shouldn’t be affiliated with Public.com and never a FINRA member.) 

Public com doesn’t have a retirement account, however they do provide 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 fees $0.50 as an index choices buying and selling price without spending a dime members, and $0.35 for Robinhood Gold members. ACH transfers are free, however there’s a $25 price 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 price desk right here.

Public fees a flat price of $2.99 for trades made throughout prolonged market hours and for OTC trades, not nice for extra lively merchants. It additionally fees for multi-asset funding plan trades, which price between $0.49 and $1.99 without spending a dime customers. There’s a $75 price to switch your belongings 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 price schedule right here.

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

Professional Tip:

Enroll with Robinhood right now! You’ll be able to refer mates to earn as much as $1500 per 12 months in FREE STOCK!

Cell App Usability

Robinhood’s cell app is well-reviewed and fashionable. 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 may get assist inside the app once you want it, and you can too entry Robinhood’s instructional sources to be taught extra about buying and selling earlier than you bounce in.

Public’s app is likewise properly regarded and straightforward to make use of. Trades might be positioned with only a few faucets and it’s simple to entry assist and sources. Inexperienced persons can begin buying and selling straight away and so they also can find out about investing on the app.

The 2 apps have practically an identical star rankings. 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?

For those who’re somebody who needs a brief record of investments which might be simple to know, and an app that’s beginner-friendly, then Robinhood could also be your only option. You received’t get entry to bonds and another asset lessons, however you’re going to get entry to a big selection of shares, ETFs, and cryptocurrencies. 

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

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

We just like the social and group facet of Public, too. For those who’re somebody who likes to swap concepts with different traders, 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 variety of good issues to say in regards to the consumer interface and the general expertise of utilizing the app. Folks additionally reward the IRA contribution matching, low margin charges, and money sweep. A few of the complaints embrace sluggish customer support response instances for requests submitted by way of the app and the dearth of detailed funding monitoring options. Most evaluations remark that the app is finest suited to inexperienced persons.

One of many issues that stood out as we learn Public.com evaluations is that the group there may be consistently working to enhance the app. They’re conscious of evaluations. Customers have praised the app’s simple 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, resembling extra superior analysis instruments. One other is the dearth of superior charting choices. 

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

Conclusion

The underside line when evaluating Public vs Robinhood is that each apps provide a streamlined consumer expertise. We’d say that Robinhood is finest fitted to newbie traders or those that need to benefit from IRA matching contributions, whereas Public has a number of extra bells and whistles which will enchantment to extra skilled traders.

Neither platform is basically fitted to in-depth funding analysis and charting, so you might must improve to premium or to make use of these apps at the side of an funding analysis platform to get the very best outcomes.

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