M1 Finance
4-star brokerage rating

Stash Invest Review


Stash invest review, account fees, broker rates, robo advisor mobile app pros and cons, performance/returns, fund withdrawals, and problems for 2018.



Overview


Stash is the latest in a series of robo- and micro-investing apps, and it appears to have learned from its predecessors. Stash offers all of the things that early adopters have come to expect from robo-investing: a beautiful interface and epic simplicity. However, Stash comes with more options, information, and more clarity than other robo-investors.


Stash Investing


Setting up an account with Stash is fast and easy. New registrants are asked for their personal details and bank account information. After linking to their bank, users have to wait between one and three business days for confirmation, which involves logging into their bank, noting the small deposits, and reporting the deposit amounts with Stash.

Once a bank account is linked, it cannot be changed until 60 days after the first deposit has been made. Switching bank accounts cannot be done in app. Users have to email Stash support. This is important to note because Stash will charge the user’s bank account in the event that a scheduled transaction, including the service fee, is denied.

Stash also requires proof of identity. All brokerage accounts open exclusively to US residents require this proof of identity and it can be provided using a social security number, passport or driver’s license. The process is straightforward. But, it is important to have some form of official ID on hand during the set-up process.

It is also worth noting that users also have to set up an initial deposit at a minimum of $5.

After that, Stashers add lump sums to their accounts either as a one-off deposit or through the creation of an auto-deposit called auto-stash. The auto-stash works on a schedule that withdraws money from the linked bank account either every week or every two weeks.

Depositing is simple. Users can reach the deposit section from the home page, or they can navigate to the deposit function from their account page.


Stash Investment Options


Unlike other apps, Stash presents a number of options to users regarding what kind of risk they want to engage in as well as the stocks they want to buy. Users can set their options during set up or at a later date.


Stash investment reviews


There are about 30 options to choose from, and they are broken up into three categories – I Believe, I Want, and I Like. There are a lot of options to look at, but there is an option to bookmark the options that are most appealing to go back to later.

The categories include investment portfolios like green energy, cybersecurity, social media, telecom, finance and tech companies. These categories are essentially ETFs run by huge firms like Vanguard that have been repackaged in a manner that is easier to digest for those new to investing or those easily distracted by too much finance jargon.

Users can learn more about the individual ETF by tapping it. Stash provides an assessed risk level, the top stocks, and the manager of the firm.

For example, the American Innovators option is made up of software, hardware, electronics, and IT firms – the Silicon Valley powerhouses. Stash includes Apple, Microsoft, Facebook, Intel, IBM, Alphabet, Cisco, Oracle, and Visa in this group. It also notes that the underlying security is managed by Vanguard.

Users can also see a brief overview of the performance of this ETF, noting the last price, one-day changes, and year-to-date changes.

Some options include a link to the ETF’s website.

Stash also makes choosing portfolio options social. Users who have friends connected on Stash can see if anyone they know has chosen the option. It is also possible to see what percentage of Stash users include the option in their own portfolios.


Stash invest reviews


Buying Precious Metals


One unique and appealing aspect of Stash is the option to invest in previous metals, which are hosted under the title All That Glitters. The stash includes gold, silver, platinum, and palladium coins; though, it gold makes up the wider share of the investment at 59.08% of the total exposure.

This presents a good opportunity to buy metal in a way that feels more interesting than buying coins really is.


Recommended Articles


Best brokerage houses
Ally Invest vs TD Ameritrade
Best brokerage accounts for beginners


Withdrawing Funds


Withdrawing from Stash is easy, and it can be done in the app.

Stash holds onto new cash for 5 business days after the initial deposit. It displays the amount available for immediate withdrawal in the app under the title Buying Power.

Stash says it takes 1-3 business days to transfer the money back to the bank account linked to the Stash account.


Stash invest review


Stash Invest Fees and Rates


Stash’s fees are comparable to other apps in this category, but there are some differences.

Stash offers three months free to new subscribers before issuing a $1 a month fee to all accounts with a balance under $5,000. The fee changes to 0.25% once the account hits the $5,000 mark. These rates are higher than at a leader in robo-investing, M1 Finance (review) which is FREE.

Unlike other services, the fee comes out of the bank account linked to the Stash account. It is important to keep this in mind for preventing overdraft fees.

Otherwise, there are no surprise fees - list of all Stash fees is under this link. Stash invests and re-invests cash without asking for commission, and it produces the relevant tax documents at the end of the year free of charge.


Stash Invest review


Referrals


The referrals section of the app allows users to invite friends from directly within the app, which makes it easier than other services. Account holders can invite contacts, Twitter followers, and Facebook friends. Stash also notes who has accepted the invitation. This feature is part of what makes it a more social experience than other services.

Users get $5 for every eligible new user who opens a new account. The cap on the referral fee is $100.


Dividends and Taxes


Stash automatically reinvests dividends for users, which makes it a maintenance-free account.

Stash also prepares the relevant tax forms at no cost. The tax documents are released in the month of February the year after the account is opened. So, if the account was opened in summer of last year, the first tax statement is prepared in February of this year.


Compare Stash vs Ameritrade, Etrade, Fidelity, Charles Schwab...


Stash Invest Review: The Final Word


Stash is ideal for young investors who want to throw a cinnamon latte’s worth of cash into an investment portfolio every once in a while, and are curious about where their money is going. However, the combination of the fees and the deposit strategy suggest that it is a place for saving money for a rainy day, not users’ golden years. For a more serious investing, users should take a look at the Brokerage Reviews.


Stash reviewed by Brokerage-Review.com on . Rating: 4