When it comes to investing, there are numerous options available in the market, and Ally Invest (formerly TradeKing) is one of the popular choices. Ally Invest is a well-established online brokerage firm that offers a range of investment products and services to individual investors. But the question remains, is Ally good for investing? In this article, we’ll delve into the details of Ally Invest’s features, fees, and services to help you make an informed decision.
Overview of Ally Invest
Ally Invest is a subsidiary of Ally Financial Inc., a leading digital financial services company. The company was founded in 2005 as TradeKing and was rebranded as Ally Invest in 2017. Ally Invest offers a range of investment products, including stocks, options, ETFs, mutual funds, bonds, and forex. The company is headquartered in Charlotte, North Carolina, and is a member of the Securities Investor Protection Corporation (SIPC) and the Financial Industry Regulatory Authority (FINRA).
Fees and Commissions
One of the most critical factors to consider when choosing an online brokerage firm is the fees and commissions charged. Ally Invest is known for its competitive pricing structure. Here are some of the fees and commissions you can expect:
- Stock trades: $4.95 per trade
- Options trades: $4.95 per trade + $0.65 per contract
- ETF trades: $4.95 per trade
- Mutual fund trades: $9.95 per trade
- Bonds: $25 per trade
- Forex: No commission, but Ally Invest makes money through the bid-ask spread
No Minimum Balance Requirement
One of the significant advantages of Ally Invest is that it doesn’t require a minimum balance to open an account. This means you can start investing with as little as $100.
Investment Products and Services
Ally Invest offers a range of investment products and services to cater to different investment needs. Here are some of the products and services offered:
Stocks and ETFs
Ally Invest offers trading in stocks and ETFs, with access to over 2,000 ETFs and a wide range of stocks listed on major exchanges. The company also offers extended hours trading, allowing you to trade before and after regular market hours.
Options Trading
Ally Invest offers options trading with flexible pricing and a range of options strategies. The company also provides options analysis tools and educational resources to help you make informed investment decisions.
Mutual Funds
Ally Invest offers a wide range of mutual funds from leading fund families, with over 12,000 funds to choose from. The company also offers a mutual fund screener tool to help you find the right funds for your investment portfolio.
Bonds
Ally Invest offers corporate and government bonds, CDs, and Treasury bills. The company also provides a bond screener tool to help you find the right bonds for your investment portfolio.
Forex Trading
Ally Invest offers forex trading in over 50 currency pairs, with competitive spreads and no commissions. The company also provides forex analysis tools and educational resources to help you make informed investment decisions.
Robo-Advisory Services
Ally Invest also offers robo-advisory services through its Ally Invest Robo Portfolios. These portfolios are designed to provide diversified investment portfolios with minimal effort and cost.
Trading Platform and Tools
Ally Invest offers a range of trading platforms and tools to help you make informed investment decisions. Here are some of the platforms and tools available:
Ally Invest Web Platform
The Ally Invest web platform is a user-friendly platform that provides real-time market data, customizable charts, and a range of technical indicators. The platform also offers a paper trading feature, allowing you to practice trading without risking real money.
Ally Invest Mobile App
The Ally Invest mobile app is available for iOS and Android devices, providing on-the-go access to your investment accounts. The app offers real-time market data, customizable charts, and the ability to trade stocks, options, and ETFs.
Options Analyzer
The options analyzer tool allows you to analyze options strategies and calculate potential profits and losses. The tool also provides a range of options analysis charts and graphs.
Forex Trading Platform
The forex trading platform provides real-time market data, customizable charts, and a range of technical indicators. The platform also offers a range of order types, including stop-loss and limit orders.
Education and Research
Ally Invest offers a range of educational resources and research tools to help you make informed investment decisions. Here are some of the resources available:
Investopedia Academy
Ally Invest has partnered with Investopedia Academy to provide online courses and tutorials on investing and trading. The courses cover a range of topics, including options trading, forex trading, and technical analysis.
Research and Analysis
Ally Invest provides real-time market data, news, and research from leading providers such as Thomson Reuters and Morningstar. The company also offers a range of technical indicators and charts to help you analyze the markets.
Community Forum
The Ally Invest community forum allows you to connect with other investors, ask questions, and share knowledge. The forum is moderated by experienced traders and investors.
Security and Regulation
Ally Invest is a member of the Securities Investor Protection Corporation (SIPC) and the Financial Industry Regulatory Authority (FINRA). The company is also a registered futures commission merchant (FCM) with the Commodity Futures Trading Commission (CFTC).
Data Encryption
Ally Invest uses 128-bit SSL encryption to protect your personal and financial information. The company also uses secure servers and firewalls to prevent unauthorized access to your accounts.
Customer Support
Ally Invest offers 24/7 customer support through phone, email, and online chat. The company also provides a comprehensive FAQ section on its website, covering a range of topics from account opening to trading and investing.
Phone Support
Ally Invest’s phone support is available 24/7, with a average wait time of less than 30 seconds.
Email Support
Ally Invest’s email support is available 24/7, with a average response time of less than 2 hours.
Online Chat
Ally Invest’s online chat support is available 24/7, providing real-time support and answers to your questions.
Conclusion
Is Ally good for investing? The answer is yes. Ally Invest offers a range of investment products and services, competitive pricing, and a user-friendly trading platform. The company also provides a range of educational resources and research tools to help you make informed investment decisions. With no minimum balance requirement, Ally Invest is an excellent choice for new investors and experienced traders alike.
What is Ally Invest and how does it work?
Ally Invest, formerly known as TradeKing, is a online brokerage firm that offers a range of investment products and services, including self-directed trading, robo-advisory, and wealth management. The platform allows users to buy and sell stocks, options, ETFs, mutual funds, and bonds, as well as access Forex and futures trading. Ally Invest is designed to be user-friendly, with a variety of tools and resources available to help investors make informed investment decisions.
In terms of how it works, Ally Invest operates as an online brokerage firm, which means that users can access their accounts and trade online or through the mobile app. The platform offers real-time market data, customizable watchlists, and a range of analytical tools to help investors make informed investment decisions. Ally Invest also offers a range of investment products, including individual stocks, options, ETFs, mutual funds, and bonds, as well as a robo-advisory service that provides diversified investment portfolios.
What are the fees associated with Ally Invest?
Ally Invest offers competitive pricing for its investment products and services. For self-directed trading, the fees are as follows: $4.95 per trade for stocks, options, and ETFs, and $9.95 per mutual fund trade. For options, there is an additional fee of $0.65 per contract. Ally Invest also offers a robo-advisory service, which has a management fee of 0.30% per year. There are no management fees for accounts with balances under $2,500.
It’s worth noting that Ally Invest does not charge any maintenance fees, inactivity fees, or transfer fees. However, there may be some additional fees associated with certain investment products, such as mutual funds. Overall, Ally Invest’s fees are competitive with other online brokerage firms, and the lack of maintenance fees and inactivity fees makes it a good option for investors who don’t plan to trade frequently.
What type of investment products are available on Ally Invest?
Ally Invest offers a range of investment products, including individual stocks, options, ETFs, mutual funds, and bonds. The platform also offers Forex and futures trading, as well as a robo-advisory service that provides diversified investment portfolios. In addition, Ally Invest offers a selection of pre-built portfolios, which are professionally managed and designed to meet specific investment goals, such as retirement or income generation.
Ally Invest also offers a range of sector-based ETFs, which allow investors to gain exposure to specific industries or sectors, such as technology or healthcare. The platform also offers a selection of fixed-income products, including CDs, bonds, and treasuries. Overall, Ally Invest offers a wide range of investment products, making it a good option for investors who want to diversify their portfolios.
Is Ally Invest safe and secure?
Yes, Ally Invest is a safe and secure online brokerage firm. The company is a member of the Securities Investor Protection Corporation (SIPC), which provides insurance coverage up to $500,000, including $250,000 in cash claims. Ally Invest is also a registered member of the Financial Industry Regulatory Authority (FINRA) and is subject to regular audits and oversight.
In addition, Ally Invest uses robust security measures to protect customer accounts and data, including 128-bit encryption, firewalls, and secure servers. The company also offers two-factor authentication to add an extra layer of security to customer accounts. Ally Invest has a strong reputation for reliability and stability, and customers can feel confident that their accounts and personal information are safe and secure.
What kind of customer support does Ally Invest offer?
Ally Invest offers a range of customer support options, including phone, email, and live chat support. The company’s customer support team is available 24/7, and customers can get help with everything from account setup to trade execution. Ally Invest also offers a range of online resources, including tutorials, FAQs, and market commentary, to help customers learn more about investing and make informed investment decisions.
In addition, Ally Invest offers a range of premium support services, including a dedicated customer support line and priority support for customers with larger accounts. The company’s customer support team is highly rated, and customers praise the company’s quick response times and knowledgeable support staff. Overall, Ally Invest’s customer support is top-notch, and customers can feel confident that they’ll get the help they need when they need it.
Can I use Ally Invest for retirement accounts?
Yes, Ally Invest offers a range of retirement accounts, including traditional and Roth IRAs, as well as SEP-IRAs and solo 401(k) plans. The company’s retirement accounts offer many of the same features as its brokerage accounts, including real-time market data, customizable watchlists, and a range of investment products. Ally Invest also offers a range of retirement-focused investment products, including target-date funds and retirement-focused ETFs.
Ally Invest’s retirement accounts are designed to be user-friendly, and the company offers a range of online resources to help customers plan for retirement and make informed investment decisions. The company also offers a range of premium services, including personalized investment advice and retirement planning, for customers with larger accounts. Overall, Ally Invest is a good option for investors who want to use a single platform for all their investment needs, including retirement accounts.
Is Ally Invest suitable for beginners?
Yes, Ally Invest is suitable for beginners. The company’s platform is designed to be user-friendly, and the website and mobile app are easy to navigate. Ally Invest also offers a range of online resources, including tutorials, FAQs, and market commentary, to help new investors learn about investing and make informed investment decisions. The company’s customer support team is also highly rated, and customers can get help with everything from account setup to trade execution.
In addition, Ally Invest’s robo-advisory service is a good option for beginners, as it provides diversified investment portfolios and professional management at a low cost. The company’s robo-advisory service is also a good option for investors who want to invest in a socially responsible way, as it offers a range of ESG-focused investment portfolios. Overall, Ally Invest is a good option for beginners, as it offers a range of resources and investment products to help new investors get started.