Wealthfront vs. M1 Finance: Which Broker Is Right for You?
Review
Updated
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The automated investment company Wealthfront was founded in 2008, while M1 Finance opened for business in 2015. While both brokers provide a place for traders to get their start, they are not identical.
In this overview of Wealthfront vs. M1 Finance, we discuss everything you'll want to know before working with a broker, from the fees each charge to the types of investments offered. By the time you finish reading this comparison, you should have a better idea of which broker is right for you.
| Offer |
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|---|---|---|
| Rating |
Rating
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Rating
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
| Commissions |
Commissions |
Commissions |
| Account Minimum |
Account Minimum |
Account Minimum |
| Learn More |
|
M1 disclaimers:
M1 is not a robo-advisor and only offers self-directed brokerage services. https://m1.com/legal/disclosures/social-terms/
We recommend comparing brokerage options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of our best trading platforms of 2025.
| Broker | Best For | Commissions | Learn More |
|---|---|---|---|
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Managing your finances under one roof | $0 for stocks,¹ $0 for options contracts⁴ |
Learn More for SoFi Active Investing
On SoFi Active Investing's Secure Website. |
Rating image, 4.0 out of 5 stars.
4.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Low mutual fund fees. | $0 per trade |
Learn More for J.P. Morgan Self-Directed Investing
On J.P. Morgan Self-Directed Investing's Secure Website. |
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Low fees on stocks, ETFs, crypto, and options | $0 for stocks, ETFs, and options |
Learn More for Robinhood
On Robinhood's Secure Website. |
Both brokers keep costs low, which leaves traders with more money to invest. Neither brokerage charges a fee for stock or ETF trades or an account maintenance fee.
The two brokers differ in their account transfer fees. While Wealthfront does not charge one, M1 Finance investors pay $100 for a transfer.
| Wealthfront | M1 Finance | |
|---|---|---|
| Stock & ETF commissions | $0 | $0 |
| Options commissions | N/A | N/A |
| Crypto commissions | N/A | $0 |
| Mutual fund commissions | N/A | N/A |
| Account transfer fee | $0 | $100 |
| Account maintenance fee |
$0 for Stock Investing Account 0.25% yearly for Automated Investing Account |
$0 |
Both brokers offer stocks, ETFs, and fractional shares. However, neither offers options, mutual funds, CDs, bonds, futures, or currencies. Only M1 Finance offers crypto.
Wealthfront and M1 Finance may be described as bare bones compared to other brokers. Still, they each provide a reputable option for a novice trader looking for low-fee automated investing.
| Wealthfront | M1 Finance | |
|---|---|---|
| Stocks and ETFs | Yes | Yes |
| Fractional shares | Yes | Yes |
| Options | No | No |
| Mutual funds | No | No |
| CDs | No | No |
| Bonds | No | No |
| Futures | No | No |
| Crypto | No | Yes |
| Currencies | No | No |
M1 Finance offers two account types unavailable to Wealthfront customers: margin accounts and checking accounts. While Wealthfront does offer a cash management account, M1 Finance is the best option for anyone hoping to open a dedicated savings account under the same roof as their brokerage account.
However, both of these brokers are famous for their robo-advisory platforms, which allow investors to trade without being involved in the hands-on management of their accounts.
| Wealthfront | M1 Finance | |
|---|---|---|
| Taxable brokerage | Yes | Yes |
| Joint tenant | Yes | Yes |
| Margin | No | Yes |
| Robo-advisor | Yes | Yes |
| Traditional IRA | Yes | Yes |
| Roth IRA | Yes | Yes |
| Other IRAs/Retirement | SEP IRA and 401(k) Rollovers | Yes |
| Custodial | 529 Plan | Yes |
| Checking | No, but offers a cash management account | No |
| Savings | No, but offers a cash management account | Yes |
| Credit card | No | Yes |
The fact that so many people trade online and on the go makes the quality of a broker's mobile app and trading platforms even more important. Here's a breakdown of what Wealthfront and M1 Finance bring to the table.
iOS users give Wealthfront's robust, easy-to-follow app an excellent score of 4.8 out of 5 stars. Android users appear to be just as impressed, also giving the app a score of 4.8 out of 5 stars.
iOS users give M1 Finance's clean and concise app a score of 4.7 out of 5 stars, and Android users also seem happy with the M1 Finance app, giving it a score of 4.5 out of 5 stars.
It's difficult to say that one of these brokers is better than the other. Both are good for novice investors, but neither provides the number of investment options needed to diversify a portfolio. They're both an excellent choice for hands-off investors who don't want to negatively impact their finances by paying high fees.
On M1 Finance's Secure Website.
M1 Finance gets high marks for combining investing and banking products. M1 Finance offers the support of automated investing tools and the freedom to pick your own stocks and build a customized portfolio. If you want features similar to that of a robo-advisor experience, but with extra flexibility for hands-on investing, consider M1.
No commission, trading, or management fees for self-directed accounts. Platform fee of $3 monthly.
$100 for individual account, $500 for retirement account
On M1 Finance's Secure Website.
M1 disclaimers:
M1 is not a robo-advisor and only offers self-directed brokerage services. https://m1.com/legal/disclosures/social-terms/
While anyone can use Wealthfront or M1 Finance to trade, the best user would be someone who is very new to trading or wants a hands-off experience.
The more a brokerage charges you, the less you have in your account to invest. It may not seem as though you're paying much at first, but you're not only covering fees, you're also losing out on any gains you could have earned by investing that money instead.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page.
SoFi Disclosure:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE
Value Prop Disclosures
Promotion Disclosures
Robinhood disclosure
All investments involve risk and loss of principal is possible.
Securities are offered through Robinhood Financial LLC, member FINRA/SIPC. Cryptocurrency services are offered through an account with Robinhood Crypto, LLC (NMLS ID 1702840). Robinhood Crypto is licensed to engage in virtual currency business activity by the New York State Department of Financial Services. Cryptocurrency held through Robinhood Crypto is not FDIC insured or SIPC protected. For more information see the Robinhood Crypto Risk Disclosure.
Trades of stocks, ETFs and options are commission-free at Robinhood Financial LLC. Other fees may apply. Please see Robinhood Financial’s Fee Schedule to learn more.
Fractional shares are illiquid outside of Robinhood and are not transferable. Not all securities available through Robinhood are eligible for fractional share orders. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see the Fractional Shares section of our Customer Agreement.
Robinhood Gold is an account offering premium services available for a $5 monthly fee. Not all investors will be eligible to trade on Margin. Margin investing involves the risk of greater investment losses. Additional interest charges may apply depending on the amount of margin used. Bigger Instant Deposits are only available if your Instant Deposits status is in good standing.
Investing is risky. Bonus offers subject to terms and conditions, visit robinhood.com/hoodweek for more information. Margin is not suitable for all investors. Robinhood Gold is offered through Robinhood Gold LLC and is a subscription offering services for a fee. Brokerage services offered through Robinhood Financial LLC (member SIPC), a registered broker dealer.
M1 disclaimers:
M1 is not a robo-advisor and only offers self-directed brokerage services. https://m1.com/legal/disclosures/social-terms/
J.P Morgan Disclosure
INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE
