Sofi vs Robinhood (2022)


Robinhood vs Sofi Invest—which is better in 2022? Compare investing accounts, online trading fees, stock broker extended hours, and differences.


Robinhood vs. SoFi Invest Introduction


Robinhood is one of the most well-known brokerage firms in the world. But does that mean it is the best? Perhaps SoFi Invest would be a better place for Robinhood customers to be. Let’s have a look.


Cost


Broker Fees Stock/ETF
Commission
Mutual Fund
Commission
Options
Commission
Maintenance
Fee
Annual IRA
Fee
Robinhood $0 na $0 per contract $0 na
Sofi Invest $0 na na $0 $0


Services


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


Open Account


Robinhood: Get a FREE stock when you open an account with this referral.

Sofi Invest: 0% SoFi management fees. Plus, unlimited access to financial planners.



First, Let’s Look at Available Assets and Accounts


Robinhood offers self-directed individual accounts only. In these accounts, the broker offers the following investment vehicles:

- Stocks
- Options
- Exchange-traded Funds
- Cryptocurrencies

SoFi Invest subtracts option contracts from the list but adds closed-end funds. SoFi Invest also has trading in some over-the-counter stocks, most of which are unavailable at Robinhood. SoFi Invest also has more accounts types. These include joint accounts and retirement accounts.

And then there’s SoFi’s automated service. A robo account costs nothing extra and one can be opened as an individual taxable account or one of the others just mentioned. Robinhood has no investment-advisory service.

Winner: SoFi Invest


Second, We Need to Inspect Their Websites


When it comes time to place some actual trades, both brokerage firms have simple but effective websites. During our probing on Robinhood’s site, we found charts with four (yes, just four) technical studies. There are two graph styles. A chart can be expanded full screen for a quasi-advanced experience.

The trade ticket on Robinhood’s site is integrated on every asset’s profile, so there’s nothing to pull up. There are six order types on the ticket and two duration choices.


Robinhood or Sofi


Robinhood’s site has a watchlist, and several can be created. There are no alerts, though. The site can be customized with color themes. There are three choices: light, dark, and market hours.

SoFi Invest’s website has no color themes at all. It does have a watchlist, but a second one cannot be created. Alerts cannot be set up for assets, either.


Sofi Invest vs Robinhood


For trading, there is a very simple order form. It only has three trade types, and there are no time-in-force choices at all.

Charting is basically pointless. There is only one plot style. There is no full-screen mode, and we found no graphing tools at all.

Winner: Robinhood


Third, It’s Mobile Trading


SoFi doesn’t do much better on its mobile app. The same order ticket is integrated into the app, and charting is even worse because a graph can’t be displayed horizontally. The one new feature is social networking. This feature doesn’t appear on the website. Traders can follow each other and see what everyone is trading.


Sofi Invest App


Because SoFi Invest clients use the same app that other SoFi customers use, it’s possible to scroll through a lot of personal finance resources on the app. During our investigation, we found tools for mortgages, credit cards, personal loans, and more.

Robinhood’s app also has some personal finance tools, but not nearly as many. For instance, there’s a page for its debit card with details on benefits of using it. The app doesn’t have a community forum, which is another weakness compared to SoFi.


Robinhood vs Sofi Invest


To place a trade, Robinhood’s app has the same trade ticket we saw on the website. Options can be traded with a dedicated derivative order ticket (up to 4 legs). The trade ticket now has integrated profit-loss diagrams (green represents a gain, and red represents a loss). Maximum profit and loss numbers are displayed above the chart.

Graphs on Robinhood’s app have two plot styles (line and candlestick), which is the only advantage over SoFi Invest’s charts.

Winner: Robinhood


Fourth, Let’s Have a Look at Margin Services


Both broker-dealers in this contest offer cash and margin accounts, albeit in different ways. Neither firm has a traditional tiered-rate schedule.

Robinhood has a program called Robinhood Gold. It costs $5 per month and includes margin privileges, among other services. The monthly fee includes the first $1,000 of borrowed funds at no cost. After that, the interest rate is 5% for all balance levels.

SoFi Invest does not charge a monthly fee for margin. Instead, it assesses a flat rate (currently 4.5%) against all loan levels.

Robinhood is gradually rolling out margin trading without a Gold membership. The projected cost is 9% for any borrowed amount.

Only SoFi Invest displays margin details (specifically, maintenance and initial requirements) for an entered ticker symbol.

Winner: SoFi Invest


Fifth Is Crypto Trading


SoFi Invest customers can buy and sell over 30 coins. A separate account is required, although this is really easy to open. Besides the majors like Bitcoin, SoFi offers some exotic coins like Avalanche, Polkadot, and Sushiswap.


Sofi Invest or Robinhood


The minimum purchase amount on the SoFi Invest platform for cryptocurrencies is $10, although the account itself can be opened with any amount or no amount at all.

Although equity trades at SoFi Invest may have no commissions, crypto trades are a different story. SoFi charges 1.25% per trade.

Robinhood charges no commissions on trades of cryptocurrencies. Trades don’t markups or markdowns, either. The minimum trade amount for cryptos at Robinhood is less than $1 for most coins. A separate account is not required.


Robinhood vs Sofi


The downside is that Robinhood only has 13 coins available for trading. Robinhood also doesn’t offer any crypto promotions. SoFi Invest, by contrast, frequently runs crypto specials where new customers can receive free fractional shares of coins for performing some activity or another.

Winner: Debatable


Sixth, We Need to Examine Research Tools


Neither brokerage firm has much in terms of crypto research. Crypto profiles on both websites show basic charts and news articles. SoFi’s site shows 1-day volume for coins. Robinhood’s software does not.

For securities, neither company has a screener. Both of them have collections of stocks and ETFs. These groups are categories that help searching somewhat. Examples include Daily Movers and 20 Most Popular ETFs. Robinhood’s lists can be sorted by more criteria. Examples include analyst ratings and market capitalization. While this is nice, what we would really like to see is a robust screener. Unfortunately, neither broker has one.

Asset profiles on Robinhood’s website and mobile app have helpful information. Stocks have analyst trade recommendations (for Visa, we found 37 ratings), news articles with thumbnails, key stats, and earnings histories with actual and estimated numbers. At the bottom of a stock’s profile, there is a section that shows what the company’s shareholders are also buying on Robinhood.

Asset profiles on SoFi Invest’s website and mobile app have only brief details. Numbers like daily high, 52-week low, and average volume can be found. There are also news articles with thumbnails

Winner: Robinhood


The Last Category Is Extra Services


Cash Management Features: Both investment firms have debit cards attached to deposit accounts that pay interest and offer long lists of special deals.

Individual Retirement Accounts: Only available at SoFi Invest.

Extended Hours: Both brokerage houses offer pre-market and after-hours trading. Robinhood has two hours more than SoFi.

Initial Public Offerings: IPOs are on tap on both firms.

Fractional Shares: Ditto.

DRIP Service: Same.

Winner: Draw


Recommendations


ETF & Stock Trading: Robinhood has better software, so we have to go with it.

Long-Term Investors and Retirement Savers: SoFi Invest does such a better job than Robinhood here. Only SoFi Invest has life insurance, estate planning, IRAs, student loans, mortgages, and more.

Beginners: An automated account with SoFi Invest would be a good way to begin.

Small Accounts: Either firm will work.


Open Account


Sofi Invest: 0% SoFi management fees. Plus, unlimited access to financial planners.

Webull: 12 FREE stocks valued $34-$30,600 give-away at Webull.

Robinhood: Get a FREE stock when you open an account with this referral.



Sofi Invest vs Robinhood: Judgment


Popularity definitely does not correlate with quality. SoFi Invest is a serious rival to Robinhood, although Robinhood traders do have comparable resources.

Anyone looking for the top-rated brokerage firm on the market should go with TD Ameritrade or read TD Ameritrade review.


Updated on 8/9/2022.


About the Author
Chad Morris is a financial writer with more than 20 years experience as both an English teacher and an avid trader. When he isn’t writing expert content for Brokerage-Review.com, Chad can usually be found managing his portfolio or building a new home computer.