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TD Ameritrade vs Sofi Invest


Sofi Invest versus TD Ameritrade - which is better in 2020? Compare margin accounts, online trading fees, stock broker extended hours, and differences.



Overview of SoFi Invest and TD Ameritrade


Both TD Ameritrade and SoFi Invest offer $0 trades on stocks and ETF’s. So does that mean they’re about even? Let’s have a look.


Cost Comparison





Services


Broker Review Cost Investment Products Trading Tools Customer Service Research Overall Rating
TD Ameritrade
Sofi Invest



First Category: Available Investments


SoFi customers can buy and sell equities, three cryptocurrencies, closed-end funds, and exchange-traded funds. As of right now, that’s the extent of the brokerage firm’s investment lineup.

TD Ameritrade clients get stocks, bonds, mutual funds, ETF’s, closed-end funds, option contracts, futures (including bitcoin futures), and old-school currencies.

One note about digital currencies: SoFi’s offering is spot cryptocurrencies, while TD Ameritrade’s offering is bitcoin futures contracts.

All things considered, we think TD Ameritrade does the better job here.


Sofi vs Ameritrade


Second Category: Security Research


SoFi doesn’t have much of an emphasis on security research. Stock profiles have very minimal data. During our investigation, we found a simple graph, a company description, and a few trade numbers, like average daily volume. News articles are linked to a stock’s profile.

At TD Ameritrade, we found much more. The broker provides free analyst reports from multiple stock watchers. Charts come with technical studies, company events, comparisons, and more. There is a very good stock screener with lots of search variables. Strangely, the SoFi website doesn’t have a screener.

TD Ameritrade easily wins this category.


Third Category: Software


SoFi customers get to trade using a website and a mobile app. Both platforms are rather simple. The website has no trade bar, and don’t even think about asking for a browser platform. The broker’s order ticket can barely be called one; it’s more of an order request that SoFi takes and turns into an order at 3:30 pm, EST—the one time orders are submitted. The broker does not offer any advanced charting.

Moving to TD Ameritrade, we do get advanced charting, and we find it at multiple locations. The broker actually has three mobile apps, and they all have great charting. The firm’s website has full-screen charting with tools. And thinkorswim, the broker’s desktop platform, has some of the best charting in the brokerage industry.

Order tickets are on a similar level. Direct-access routing is a great feature; plus, we found advanced order types and several duration choices.

A trade bar makes an appearance on the TD Ameritrade website. It can quickly submit orders for funds, equities, and options.

TD Ameritrade wins again.


Fourth Category: Portfolio Management


SoFi has a robo-advisory program that trades ETF’s. The broker requires just $1 to begin the service, which is completely free. Moreover, the brokerage firm has human advisors in the background who are available to provide financial guidance to robo customers who want it. Remarkably, there is no charge for this old-school service, either.

TD Ameritrade also has a software program that buys and sells exchange-traded funds. The service does cost 0.30% per annum. There is also a $5,000 minimum. Human advisors are not part of the package, although they can be hired (for a fee) to perform old-school management.

SoFi wins here.


Ameritrade vs Sofi


Fifth Category: Other Services


Dividend Reinvestment Program: Self-directed accounts at SoFi don’t get a DRIP, but TD Ameritrade clients do.

IRA’s: Both brokerage firms in this survey offer Individual Retirement Accounts. TD Ameritrade offers a SIMPLE IRA, but SoFi doesn’t. Neither broker has any IRA fees.

Automatic mutual fund investing: We already know that SoFi doesn’t offer this service. TD Ameritrade does.

TD Ameritrade is the victor here.


Recommendations


Beginners: Although SoFi’s educational materials are designed for beginning investors, the brokerage firm doesn’t quite have the same level of customer service that TD Ameritrade offers. We have to recommend TD Ameritrade over SoFi here.

Mutual Fund Traders: Obviously, it’s TD Ameritrade.

Retirement Savers: SoFi’s managed account service looks pretty good for long-term investors. However, only TD Ameritrade offers an individual 401(k) plan. And only TD Ameritrade has target-date mutual funds. We’ll call it a draw here.

ETF and Stock Trading: TD Ameritrade offers much better software, research tools, and customer support for active traders. With $0 commissions, it’s a no brainer.


Promotions


TD Ameritrade: $0 commission stock and ETF trades.

Sofi Invest: Open an Active Investing account with $5,000 and get $100 in free stock.

Ally Invest: Up to $3,500 cash bonus + $0 commission trades.

Firstrade: Open Firstrade account.



TD Ameritrade vs Sofi Invest: Results


SoFi has done a decent job branching out into the investment world. Its commission schedule is competitive, but it seems to underperform in most areas.