The best online investing platforms under $500 in 2026 are Ark7, Fidelity, Charles Schwab, Robinhood, Interactive Brokers, SoFi Active Invest, Acorns, Betterment, J.P. Morgan Self-Directed Investing, Merrill Edge, and Public.com, with Ark7 ranked first for turning a $500 budget into fractional ownership of income-producing rental homes starting at $20 a share.
- Ark7 – fractional rental-home ownership with monthly passive income
- Fidelity – full-service brokerage with $0 commissions and $1 fractional shares
- Charles Schwab – self-directed and automated investing with Stock Slices from $5
- Robinhood – commission-free stock, ETF, options, and crypto trading app
- Interactive Brokers – global multi-asset trading with Lite and Pro pricing tiers
- SoFi Active Invest – self-directed investing bundled with banking and robo portfolios
- Acorns – micro-investing app built around automated spare-change contributions
- Betterment – robo-advisor managing diversified ETF portfolios for a flat annual fee
- J.P. Morgan Self-Directed Investing – Chase-linked brokerage with a $0 account minimum
- Merrill Edge – Bank of America’s self-directed and guided investing programs
- Public.com – fractional-share investing app with an optional premium data tier
| Platform | Minimum to Start | Core Fee Structure | Investment Type |
|---|---|---|---|
| Ark7 | $20 per share | Not published | Rental-home shares, monthly distributions |
| Fidelity | $1 (fractional shares) | $0 commission, stocks/ETFs | Stocks, ETFs, crypto, mutual funds |
| Charles Schwab | $1 standard platform; $5 Stock Slices | $0 online commission; $0.65/options contract | Stocks, ETFs, options, futures |
| Robinhood | $0 account minimum | $0 commission; $0.04/options contract | Stocks, ETFs, options, crypto |
| Interactive Brokers | $1 (fractional shares) | $0 (IBKR Lite) or per-share (Pro) | Stocks, ETFs, futures, bonds, forex |
| SoFi Active Invest | $5 (fractional shares) | $0 stock and options commissions | Stocks, ETFs, options |
| Acorns | $5 to start investing | Monthly subscription fee | ETF portfolios |
| Betterment | $0 account minimum | 0.25% annual account fee | Diversified ETF portfolios |
| J.P. Morgan Self-Directed | $0 account minimum | $0 per stock/ETF trade | Stocks, ETFs |
| Merrill Edge | $0 (self-directed) | $0 online stock/ETF trades; $0.65 per options contract | Stocks, ETFs, options |
| Public.com | $1 (fractional shares) | $0 commission; Premium $10/month | Stocks, ETFs, fractional shares |
The breakdown below explains what each platform actually requires and charges once $500 is on the line, starting with why new investors have been slower to show up in the first place.
Investing for the first time with $500 raises a practical question before it raises a financial one: which platform will not quietly consume that balance in fees before it has a chance to grow.
New-investor participation has actually cooled. The FINRA Investor Education Foundation found that in 2024, only 8% of investors reported beginning to invest within the previous two years, down sharply from the share who started during the two years before the 2021 survey. For the investors who do start, the platform matters more at $500 than it does at $50,000, because flat monthly fees, fractional-share minimums, and account requirements all hit a small balance harder in percentage terms.
This comparison looks at online investing platforms under $500 across minimums, fees, and what you can actually buy. That includes Ark7, a real estate platform that lets a $500 budget buy fractional shares in rental homes rather than only stocks and ETFs.
Key Takeaways
- Most major brokerages now list a $0 account minimum, but the minimum to actually buy something, especially fractional shares, varies by platform and matters more on a $500 budget than the headline number.
- Monthly subscription fees on micro-investing apps can become a large share of a small balance. A $3 monthly fee on a $500 account works out to a meaningful annual percentage before any gains are counted.
- Robo-advisor minimums range from $0 to $5,000, which is often a bigger filter for a $500 investor than the self-directed brokerage minimum at the same company.
- Fractional shares let a small budget spread across more than one or two positions, rather than concentrating $500 in whatever single whole share it can afford.
- Real estate-based platforms give a $500 budget a non-stock option. Ark7 lets investors buy shares in curated rental properties starting at $20 each, paired with monthly distributions.
- Reading the full fee schedule matters more than the “$0 commission” headline, since options, ETF, and transfer fees can still apply depending on the platform and account type.
Online investing platforms under $500 are brokerage or investing apps that allow investors to open an account and purchase assets (stocks, ETFs, fractional shares, or real estate shares) with less than $500. The best options for small budgets combine a $0 or low account minimum, fractional-share access, and a fee structure that does not erode a small balance through flat monthly charges.
New to passive real estate investing?
Explore Ark7 OpportunitiesHow We Evaluated Investing Platforms for a $500 Budget
Every platform on this list was assessed against the same practical filters a $500 investor actually faces: the dollar amount required to open an account, the dollar amount required to buy the first position, published trading and subscription fees, and what asset types are actually available at that budget.
FINRA requires all brokerage firms, including online and app-based brokers, to disclose their fees and commissions, so every figure below is drawn from a platform’s own published pricing or a verified third-party review of it.
Account minimums and fractional-share minimums are treated as separate criteria, because a $0 account minimum is not useful if the smallest available purchase still exceeds a chunk of a $500 budget. Subscription-style fees are weighed against that same $500 balance rather than against a $50,000 one, since a flat monthly charge drags harder on a small account.
Top Online Investing Platforms Under $500
The platforms below are ordered by how well they fit a $500 starting budget, based on minimums, fee structure, and what a reader can actually buy.
1. Ark7
Ark7 is an online real estate investment platform that lets individual investors buy shares in curated rental properties instead of a whole house. Shares start as low as $20, which means a $500 budget can be split across roughly 25 shares, spread across more than one property if an investor chooses, rather than tied up in a single stock position. Investors receive monthly distributions as passive income, and shares can be sold after a minimum holding period, with properties generally held long-term for appreciation.
The platform combines automated sourcing and leasing technology with local market expertise to select properties, and publishes complete legal and financial disclosure for each property series, searchable at any time. Ark7 serves as manager to its property-holding entities, and the offer and sale of securities through the platform is facilitated through Dalmore Group LLC, a registered broker-dealer and member of FINRA and SIPC. Neither Ark7 nor its property entities is a broker-dealer or investment advisor, and past performance is not a guarantee of future results.
What sets Ark7 apart
- Low entry price: shares begin at $20, so a $500 budget buys fractional ownership across multiple rental properties rather than one lump stock purchase.
- Passive income structure: monthly distributions are paid directly into the investor’s account rather than requiring active trading decisions.
- Operational transparency: legal and financial disclosures for each property are accessible 24/7, with no hidden fees.
- App rating: Ark7 holds a 4.7 rating on the Apple App Store.
- Market reach: properties are currently available across 10 markets, with the platform expanding nationally.
Diversifying a $500 budget away from a single asset class is one of the more consistent pieces of advice for small accounts, and real estate shares give investors a way to add property exposure without a down payment, a mortgage, or landlord duties.
Ideal for
- Investors who want rental-property exposure without managing tenants or repairs directly.
- Stock-heavy portfolios looking to add a physical-asset income stream.
- New investors who want to test real estate investing with a small amount before committing more capital.
- Investors who want to hold shares across more than one of Ark7’s 10 markets rather than one single property.
How to buy your first Ark7 rental-home share
Investors can create an Ark7 account and browse currently available rental-home shares starting at $20 each, with full property disclosures available before any purchase.
2. Fidelity
Fidelity is a brokerage and wealth management provider offering brokerage accounts, retirement accounts, HSAs, 529 accounts, and advisor-assisted wealth management. Investors can trade on their own or work with a dedicated Fidelity advisor, with access to stocks, ETFs, crypto, mutual funds, and other investment types through Fidelity’s online platforms.
Fidelity retail brokerage accounts carry no account minimum and no account fees to open, and the brokerage charges no-fee, no-minimum index funds alongside commission-free online trading. Fractional shares are available on Fidelity’s own site starting at $1, which lets a $500 budget be spread across several positions rather than one whole share.
Key Features
- $0 account minimum and $0 account-opening fees
- $0 online commission for U.S. stock and ETF trades
- Fractional-share investing starting at $1
- Access to stocks, ETFs, crypto, mutual funds, bonds, options, and annuities in one account
3. Charles Schwab
Charles Schwab provides self-directed investing, active trading through its thinkorswim platforms, automated investing, and full-service wealth management under one account structure. Clients can place trades online, by phone, or through a broker, with access to stocks, ETFs, options, futures, bonds, and mutual funds.
Schwab Stock Slices let investors buy fractional pieces of up to 30 S&P 500 companies for $5 each, which narrows the usable universe compared with platforms offering fractional access to the full market. Current broker comparisons also note that Schwab has trimmed its minimum fractional-share purchase to $1 from $5 on its standard platform.
Key Features
- $0 online commission on listed stocks and ETFs
- Stock Slices for fractional purchases of select S&P 500 companies
- thinkorswim desktop, web, and mobile trading platforms
- 24/7 service and access to physical branches
Pricing
Schwab charges $0 online commission on stocks and ETFs, $0.65 per contract on options, and $2.25 per contract on futures, according to its own published pricing. Schwab’s automated investing product lists a $5,000 minimum deposit, separate from its $0-minimum self-directed brokerage accounts.
4. Robinhood
Robinhood is a mobile-first brokerage offering commission-free trading on stocks, ETFs, options, and cryptocurrency, with trading available extended hours across the trading week. The app is built around a self-directed, no-minimum account structure.
Robinhood lists a $0 account minimum and $0 cost per stock trade, and NerdWallet confirms commission free trading extends to ETFs, options, and crypto on the platform. A combined $0.04 regulatory fee applies per options contract traded, per Robinhood’s own fee disclosure.
Key Features
- $0 account minimum
- Commission-free stocks, ETFs, options, and crypto trades
- Extended and overnight trading availability
- Optional Robinhood Gold subscription tier
Pricing
Robinhood Gold costs $50 annually or $5 per month, and includes 3.6% APY on uninvested cash, instant deposits up to $50,000, and the first $1,000 of margin interest free.
5. Interactive Brokers
Interactive Brokers offers access to global markets across stocks, ETFs, options, futures, currencies, bonds, mutual funds, and prediction markets. Investors can trade through a suite of platforms including Client Portal, IBKR Desktop, and Trader Workstation. The firm uses smart order-routing technology that searches for the best available price at the time of execution.
Interactive Brokers runs two pricing tracks: IBKR Lite, which lists $0.00 commissions for U.S. listed stocks and ETFs for eligible U.S. residents, and IBKR Pro, which charges per-share pricing under fixed or tiered schedules. The firm states that fractional-share trading is available with as little as $1 and that securities accounts at Interactive Brokers LLC carry SIPC protection of up to $500,000, per its own disclosures.
Key Features
- IBKR Lite and IBKR Pro pricing tracks
- Fractional-share trading starting at $1
- Paper trading with simulated funds
- Access to global stocks, options, futures, bonds, and currencies in one account
Pricing
IBKR Lite lists $0.00 commission on U.S. listed stocks and ETFs for eligible residents. IBKR Pro charges $0.005 per share under its fixed schedule, or $0.0005 to $0.0035 per share under its tiered schedule, with exchange and regulatory fees applying on all plans, per the firm’s published pricing.
6. SoFi Active Invest
SoFi Invest offers self-directed investing, automated (robo) investing, and retirement accounts, with investment options spanning stock trading, options trading, ETFs, and fractional shares. The self-directed and automated products are run as separate offerings within the same app.
SoFi Active Investing allows fractional shares starting at $5 and pairs that with a 1% IRA match for standard members. Separately, SoFi’s automated investing product requires a $50 minimum to open.
Key Features
- Self-directed and robo-advisor investing in one app
- Fractional shares starting at $5
- $0 commissions on stocks and options under Active Investing
- Retirement accounts (IRAs) with an employer-style match program
Pricing
SoFi Active Investing charges no stock or options trading fees, per the platform’s own pricing page. SoFi Automated Investing requires a $50 minimum and separately charges a 0.25% annual advisory fee.
7. Acorns
Acorns is a micro-investing app built around automatically rounding up everyday purchases and investing the difference into diversified ETF portfolios. The app also offers retirement and checking-account products alongside its core investing feature.
Acorns charges a monthly subscription fee depending on the plan selected, with a $0 account minimum to open but a $5 minimum required to start investing.
Key Features
- Round-up investing from linked debit and credit cards
- Tiered monthly subscription plans
- $0 account-opening minimum, $5 minimum to invest
- Retirement and custodial account options
Pricing
Acorns charges a tiered monthly subscription fee depending on the plan selected; current pricing is available on Acorns’ official pricing page.
8. Betterment
Betterment is a robo-advisor that builds and manages diversified ETF portfolios based on an investor’s stated goals and risk tolerance. Clients cannot buy individual stocks through the platform; all investing happens through managed, diversified funds.
Betterment has no minimum balance requirement and charges a 0.25% annual account fee on managed balances.
Key Features
- Fully managed, diversified ETF portfolios
- No minimum account balance
- Goal-based portfolio construction
- Automated rebalancing
Pricing
Betterment charges a 0.25% annual account fee, with no minimum balance required to open an account.
9. J.P. Morgan Self-Directed Investing
J.P. Morgan Self-Directed Investing is a Chase-linked brokerage platform built for investors who already bank with Chase and want self-directed stock and ETF trading in the same app.
J.P. Morgan Self-Directed Investing lists a $0 account minimum and $0 fees per stock and ETF trade. A separate review notes that most accounts carry no minimum deposit requirement to open.
Key Features
- $0 account minimum for most account types
- $0 commission on stock and ETF trades
- Integration with Chase banking accounts
- Self-directed trading interface within the Chase app
Pricing
J.P. Morgan Self-Directed Investing charges $0 per stock or ETF trade with a $0 account minimum.
10. Merrill Edge
Merrill Edge, part of Bank of America, offers both self-directed investing and managed advisory programs. Merrill Edge Self-Directed lets investors build and manage their own portfolio online, while Merrill Guided Investing assigns investment professionals to build a portfolio, with an optional one-on-one advisor tier.
Merrill Edge Self-Directed advertises unlimited $0 online stock, ETF, and option trades with no trade or balance minimums, per the firm’s own pricing page. Options contracts carry a $0.65 per-contract fee, and ETF sales carry a transaction fee of $0.01 to $0.03 per $1,000 of principal.
Key Features
- Unlimited $0 online stock, ETF, and option trades
- No trade or balance minimum for self-directed accounts
- Managed portfolio option through Merrill Guided Investing
- Optional advisor access through Merrill Guided Investing with Advisor
Pricing
Merrill Edge Self-Directed has a $0 minimum investment with unlimited $0 online trades. Merrill Guided Investing requires a minimum investment as low as $1,000 and charges 0.45% assessed monthly on the prior month’s balance, per Merrill’s own pricing page.
11. Public.com
Public.com is a fractional-share investing app that lets users build a portfolio alongside access to FINRA-licensed support staff. The app emphasizes community features alongside its core trading function.
Public.com offers commission-free trades, no management fees, and account funding starting at $1, with fractional-share investing available on that initial deposit.
Key Features
- Commission-free stock and ETF trading
- Fractional shares starting at $1
- No account management fees on the base tier
- Optional premium data subscription
Pricing
Public.com Premium costs $10 per month or $96 per year, and is free for accounts holding $50,000 or more.
How Fees Quietly Erode a $500 Balance
A flat monthly subscription fee looks small in isolation, but it is not small relative to a $500 account.
FINRA notes that brokerage accounts may charge transaction commissions on some or all trades and may also impose standardized monthly or annual account fees, and that available products and fee structures vary by firm.
What Assets Can You Trade With Under $500?
Fractional-share investing has expanded what a $500 budget can reach, letting a small amount buy a slice of an expensive stock rather than requiring a full share. Most beginner investing apps now have no minimum deposit, and fractional shares let investors buy stocks and ETFs with as little as $1 on several platforms.
Fractional shares come with caveats, however. The SEC’s Investor.gov warns that some brokerage firms charge fees for fractional-share transactions and recommends confirming whether additional fees apply before buying.
FINRA also notes that moving an account containing fractional shares to another firm may require selling those shares first, which can create unexpected tax consequences. Outside of stocks and ETFs, $500 is also enough to buy shares in curated rental properties on platforms like Ark7, starting at $20 per share, giving a small budget exposure to real estate income alongside or instead of equities.
Choosing Between a Robo-Advisor and a Self-Directed App
A robo-advisor builds and manages a diversified portfolio automatically for a flat fee, while a self-directed app leaves every buy and sell decision to the investor. For a $500 account, the minimum balance required matters as much as the management style.
Minimums vary widely across robo products. Betterment requires no minimum balance and charges a 0.25% annual fee, while SoFi’s automated product requires a $50 minimum and the same 0.25% fee structure.
Schwab’s automated investing option, by contrast, lists a $5,000 minimum deposit, which rules it out for most $500 budgets even though Schwab’s self-directed brokerage account itself has no minimum. A self-directed app or platform, including fractional real estate shares, generally requires more hands-on decisions but can start with a smaller check.
Is Your Money Safe in a Small Online Investing Account?
Small accounts face the same disclosure and regulatory protections as large ones, though margin and fee terms deserve extra attention at $500.
FINRA requires every brokerage firm, including app-based brokers, to disclose its fees and commissions before an investor opens an account.
The SEC separately warns that margin loans charge interest that directly reduces returns, with rates varying substantially between firms, and that federal rules require a minimum deposit of at least $2,000 or 100% of the purchase price before trading on margin. For real estate-based platforms, Ark7’s offerings are facilitated through Dalmore Group LLC, a registered broker-dealer and member of FINRA and SIPC, and each property series carries its own legal and financial disclosure.
E*TRADE, Webull, M1 Finance, Stash, and Other Platforms Worth Considering
Several additional platforms come up often in searches for investing under $500. E*TRADE operates as a full-service brokerage with a $0 account minimum, according to NerdWallet’s review of the platform. Webull offers an IRA contribution match of 1% for standard accounts and 3.5% for premium members, alongside its core self-directed trading app.
M1 Finance is a money-management app offering automated investing through user-built portfolios called Pies, with individual, joint, custodial, and retirement account types, per the company’s own site. Stash offers a $0 account-opening minimum with a $5 minimum to begin investing in its Smart Portfolios, per the company’s own comparison page. Ally Invest is a bank-affiliated brokerage offering self-directed trading alongside Ally’s banking products. None of these platforms currently has the same depth of independently verified pricing data as the entries covered above.
Final Verdict
For a $500 budget, the deciding factors are the same ones that matter at any balance: what the minimum purchase actually is, what fees apply beyond the headline commission, and what asset types are available. Several self-directed brokerages now offer $0 account minimums and $1 fractional shares, which makes stock and ETF investing genuinely accessible at $500. Ark7 extends that same accessibility into real estate, letting a $500 budget buy fractional shares in income-producing rental properties starting at $20 each, with monthly distributions, full property disclosure, and no requirement to manage tenants or financing directly. For investors who want their $500 to do more than sit in a single asset class, that combination of a low entry price and passive income is a meaningful option alongside a traditional brokerage account.
Frequently Asked Questions
Can I start investing with $500?
Yes. Most major brokerages and investing apps carry a $0 account minimum, and fractional-share investing lets $500 be split across multiple stocks, ETFs, or, on platforms like Ark7, rental-property shares starting at $20 each.
What fees should I look for when investing $500?
Look beyond the headline trading commission. FINRA confirms brokerage accounts may carry standardized monthly or annual fees, and the SEC flags account-maintenance, inactivity, and transfer fees that can apply even when trades themselves are free.
Can I invest in fractional shares with $500?
Yes. Several platforms allow fractional-share purchases starting at $1, which lets a $500 budget be divided across multiple positions instead of concentrated in one whole share.
Which investment apps have no minimum deposit?
Robinhood, J.P. Morgan Self-Directed Investing, Betterment, and Merrill Edge Self-Directed all list a $0 account minimum, according to their own published pricing and independent reviews cited above. Minimums to actually buy a fractional share or enter a managed portfolio can still differ by platform.
Are investment apps safe?
Regulated brokerage and investing platforms must disclose fees per FINRA requirements, and margin accounts carry specific protections, including a federal rule requiring at least $2,000 or 100% of the purchase price before trading on margin. Checking a platform’s broker-dealer affiliation and regulatory disclosures before funding an account is a reasonable first step regardless of which platform is chosen.
Do I need a minimum balance to use a robo-advisor?
It depends on the provider. Betterment requires no minimum balance, SoFi’s automated product requires a $50 minimum, and Schwab’s automated investing option lists a $5,000 minimum deposit, so the right fit depends on how much of a $500 budget an investor wants in a managed portfolio.
Should I invest $500 in stocks, index funds, or real estate shares?
There is no single right answer, and diversifying across asset classes is a common approach for small accounts. A $500 budget can buy fractional shares of stocks or ETFs on several platforms, or shares in income-producing rental properties starting at $20 each through a platform like Ark7, giving investors a way to combine equity and real estate exposure rather than choosing only one.
Investors who want to see what a $500 budget looks like in rental-property shares can create an Ark7 account and browse currently available properties, each with full legal and financial disclosure provided before any purchase.
What is the difference between a brokerage account and a robo-advisor for a $500 investor?
A brokerage account lets investors choose and place every trade themselves, with no ongoing management fee beyond any trading commissions. A robo-advisor automatically builds and rebalances a diversified portfolio for a flat annual fee, but may require a higher minimum deposit: Schwab’s automated option requires $5,000, while Betterment requires no minimum at all.
Real estate investing involves risk, including potential loss of principal. Past performance does not guarantee future results. This article is for informational and educational purposes only and does not constitute investment, legal, or financial advice.
