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Are you currently invested with Robinhood but considering other options? There often comes a time in an investor’s journey where they decide to move from one investing platform to another. As M1 Finance continues to grow in popularity, many people are wondering how to transfer from Robinhood to M1 Finance.
The process is actually very streamlined and straightforward. You want to make sure, though, that you know what you’re leaving behind.
Robinhood vs. M1 Finance
Robinhood is a very popular platform with no small share of bumps in the road. From outages that kept people from investing to being slapped with fines over a lack of transparency, Robinhood has earned some bad press. Still, millions of users invest with Robinhood. They tout its commission free trades, as well as ability to buy stocks, ETFs, options, and cryptocurrency as main reasons to use Robinhood.
M1 Finance is still a newbie when it comes to investing platforms. But it already has half a million users and six billion dollars in assets under management. Perhaps it’s because of its sleek interface or its tendency to run sweet promotions, but more and more investors are signing up for M1 Finance accounts to access securities that trade commission free.
If you are contemplating making the switch, read on for six simple steps to transfer stocks from Robinhood to M1 Finance.
How To Transfer From Robinhood To M1 Finance
Are you contemplating making the switch but unsure of how to transfer stocks from Robinhood to M1 Finance? Let us break it down for you in these easy steps!
Step 1: Determine What You Want to Transfer
When you transfer from Robinhood to M1 Finance, you need to be aware of what will and what won’t transfer. Currently, M1 Finance does not support cryptocurrency or options. As a result, you might choose to sell and transfer the money to M1 Finance. Alternatively, you can leave those portfolio holdings with Robinhood and focus on transferring your stocks to M1 Finance.
Step 2: Gather Up Your Robinhood Information
Make sure you know what is in your Robinhood portfolio. Locating a copy of your most recent statement can help with this! You’ll want to know your account number, as well as what you are currently holding in your portfolio.
Step 3: Open an M1 Finance Account
Open an M1 Finance account. You can follow the steps in our M1 Finance review.
Make sure that you open a taxable brokerage account. Robinhood does not currently offer retirement accounts, so you need to make sure you are moving your stocks from one taxable account to another. You will want to note the M1 Finance minimum deposit as well.
Step 4: Use M1 Finance to Initiate the Transfer
After you have your M1 Finance account set up, you will use M1 Finance to initiate a transfer. You will be uploading documents through a secure portal.
Step 5: Let M1 Finance Do The Rest
M1 Finance makes it easy to transfer stocks from Robinhood to M1 Finance. Once you complete steps 3 and 4, a team of experts from M1 Finance will take over to complete the transfer for you!
Step 6: Wait Patiently (But Not For Long!)
The process of transferring stocks from Robinhood to M1 Finance is certainly simple and it’s also fairly quick. Once you initiate the transfer, your Robinhood account is restricted. That means you can’t use it to trade. But in about a week’s time, you should see your stocks in your M1 Finance account.
You also want to note that there is a $75 account transfer fee. That means that Robinhood will subtract $75 from your cash balance during the transfer.
Considering making the move? Check out our detailed (and honest!) M1 Finance review to see if making the switch to M1 is the right call for you!
Other Investing Apps To Consider
There are so many investing apps to consider! The bad news is that it can be totally overwhelming. The good news is that we really give you a head start with this list of our favorite investing apps for 2022.
If you’re not sure that Robinhood or M1 Finance are right for you, here are three other investing platforms we’re really excited about.
Webull made a lot of noise when it started offering fractional shares for as little as $5. That means that instead of waiting and saving enough to purchase a full share of your favorite stock, you can dive in with just a slice of it for only a few bucks.
Additionally, Webull allows investors to trade commission free. That means you can buy and sell stocks, options, and ETFs without racking up a hefty trade fee. To help you develop your investing strategy, Webull also offers a variety of resources. You can access charting, stock screens, news updates, and more.
See our full WeBull review here.
The list of reasons to consider Public is long: fractional shares start at $1, no account minimums, and low fees. Any investor should be excited about these details, and it’s certainly music to new investors’ ears. Many new investors get sidelined by sizable minimum balance requirements. Public knows that and did everything they could to remove all the barriers to entry that new investors typically face.
Additionally, Public gets its name from the fact that there is a social–or public!–component of the app that allows investors to share their portfolios. If you’re like most of us, you love to talk money but might find it challenging to do so with others in person. Public lets money nerds share their portfolios as a way to “talk shop”. If you’re looking for new strategies or simply curious how others are putting together their paths to wealth, this feature is for you!
Check out our full Public review here.
Acorns is one of our very favorite investing apps to share with others because anyone–and we mean anyone!–can use it. Oftentimes, new investors find themselves coming down with a case of analysis paralysis. They get so overwhelmed in the decision making process, that they miss out on market growth and gains.
Acorns takes the pressure off with its microinvesting option. Users can turn up the Round Up feature to make investing painless, seamless, and effective. Link Acorns to your favorite card. Then, when you shop, Acorns rounds up your purchase to the next dollar amount. That spare change gets invested. You’re building a portfolio without even thinking about it! That’s a big win for people who are hesitant to get started.
See our full Acorns review here.