Using data from our latest annual broker review which tested more than a dozen different online brokers
over six months, we can compare Robinhood vs Ally Invest to determine which broker is best. Let's dive in.
First, we will break down the commission charges of both brokers for placing stock and options trades. Ally Invest charges $4.95 per stock trade which is $4.95 more than Robinhood which charges customers $0 per trade. Looking at trading options, Robinhood's base fee is $0 while Ally Invest's is $4.95. Each option contract then costs $0.65 at Ally Invest and $0 at Robinhood. Instead of flat rate fees, several brokers charge a per-share fee instead. For a complete review of trading charges, read our full online broker reviews
Next, investors want to make sure they can trade the investment vehicle they want. Robinhood offers clients Stock Trading and Options Trading while Ally Invest offers Stock Trading, Options Trading, Mutual Funds, Forex Trading and Futures Trading. As far as mutual funds go, Robinhood trails Ally Invest by 10,264 total mutual funds, with Ally Invest offering 10264 and Robinhood offering 0. And, commission free ETFs deserve a comparison, which in this case means trading a possible N/A commission free ETFs at both brokers.
Finally, by comparing the each broker's website and platform features, we can surface interesting differences. Neither Robinhood and Ally Invest offer virtual trading. For mobile trading, Robinhood along with Ally Invest both support the iPhone App, iPad App and Android App. Online banking is also used by many customers, and multiple full-service brokerages provide these services. Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans are available to clients of Ally Invest while Robinhood offers customers none of these. All factors considered, when it comes to platform tools, research, and mobile trading, unfortunately, neither Robinhood nor Ally Invest received awards Best in Class - Platforms & Tools, Best in Class - Research and Best in Class - Mobile Trading.
Overall, Ally Invest comes out on top with 3.50 stars over Robinhood's 2.50 stars.