Generating passive income has become an essential strategy for achieving financial freedom and security. Technology continues to revolutionize the way we invest, making it easier than ever to grow your wealth with minimal effort. Investment apps have emerged as powerful tools that offer both beginners and seasoned investors the opportunity to earn passive income with just a few taps on their smartphones.
In this article, we’ll explore the 13 best investment apps for passive income that are shaping the financial landscape. These apps range from robo-advisors and micro-investing platforms to commission-free trading options, providing a variety of ways to enhance your earnings. Whether you’re looking to dive into automated investing or seeking a user-friendly interface for managing your portfolio, we’ve got you covered.
Understanding the key features and benefits of these investment apps can help you make informed decisions and maximize your investment returns. From Robinhood and Wealthfront to M1 Finance and Acorns, we’ll delve into the standout options that cater to different investment styles and goals. With the right app, you can achieve your financial aspirations and enjoy the convenience of managing your investments on the go.
Let’s dive into the top-rated investment apps for 2025 and discover how they can help you achieve your financial independence and build a sustainable stream of passive income.
What to Look for in an Investment App
Choosing the right investment app is crucial for generating passive income and achieving financial growth. With so many options available, it’s important to consider several key factors that can impact your investment experience and returns. Here’s what you should look for in the best investment apps:
Key Features and Functionalities
Investment apps come with a variety of features designed to help you grow your wealth. Look for apps that offer commission-free trading, automated investing, and robust financial planning tools. Robinhood and M1 Finance are examples of platforms that provide user-friendly interfaces and comprehensive investment options.
User Experience and Interface
A seamless and intuitive user experience is essential for managing your investments efficiently. Apps like Wealthfront and Betterment are known for their easy-to-navigate interfaces and personalized portfolio management. Ensure that the app you choose offers a smooth onboarding process and easy access to your investment data.
Security and Trustworthiness
Security is a top priority when it comes to investing your hard-earned money. Opt for apps that have strong security measures in place, such as encryption and two-factor authentication. Reputable platforms like Fidelity and ETRADE* prioritize the safety of your personal and financial information.
Fees and Costs
Understanding the fee structure is crucial to maximizing your returns. Some investment apps, like Acorns and SoFi Active Investing, offer low or no fees, making them cost-effective choices for passive income seekers. Be sure to compare the fees associated with different apps to find the most affordable option for your needs.
Investment Options
The variety of investment options available can greatly influence your ability to generate passive income. Look for apps that offer a diverse range of assets, such as stocks, ETFs, and mutual funds. TD Ameritrade and Webull provide extensive research tools and a wide selection of investment products to help you build a diversified portfolio.
By considering these factors, you can make an informed decision and select the best investment apps to suit your financial goals. In the next section, we will delve into the top 13 investment apps for passive income, providing detailed insights into their features and benefits.
Top 13 Best Investment Apps for Passive Income
1. Robinhood
Robinhood is a game-changer in the investment world, offering commission-free trades and a user-friendly interface. This app provides easy access to a wide range of investment options, including stocks, ETFs, and cryptocurrencies, making it a favorite among beginners and experienced investors alike. With its sleek design and seamless experience, Robinhood empowers users to manage their portfolios effortlessly and maximize their passive income potential.
Pros:
- Commission-free trades
- Easy-to-use interface
- Access to a wide range of investment options
Cons:
- Limited customer support
- Lack of advanced research tools
2. Acorns
Acorns revolutionizes micro-investing by rounding up your everyday purchases and investing the spare change into diversified portfolios. Ideal for those looking to start small, Acorns automates the investment process, helping users build wealth passively over time. The app’s intuitive design and automated portfolio management make it an excellent choice for anyone seeking to grow their investments without constant monitoring.
Pros:
- Automated investing with spare change
- Easy to set up
- Diversified portfolios
Cons:
- Monthly fees
- Limited investment options
3. tastytrade
Tastytrade stands out for its focus on options trading, providing a comprehensive platform for both new and experienced traders. With commission-free trading, educational resources, and advanced trading tools, tastytrade helps users maximize their passive income potential through various trading strategies. This app is perfect for those looking to delve into options trading and achieve high returns.
Pros:
- Commission-free options trading
- Educational resources
- Advanced trading tools
Cons:
- Complex interface for beginners
- Limited non-options investment options
4. Betterment
Betterment is a top robo-advisor offering automated investing and personalized financial planning. By creating and managing diversified portfolios based on your financial goals, Betterment makes it easy to achieve passive income effortlessly. The app’s advanced algorithms and low management fees ensure optimal investment performance, making it a popular choice for hands-off wealth management.
Pros:
- Automated investing
- Personalized financial planning
- Low management fees
Cons:
- Limited customization of portfolios
- No direct stock or ETF trading
5. M1 Finance
M1 Finance combines the benefits of a robo-advisor with the flexibility of a self-directed brokerage. Users can create custom portfolios, known as “pies,” and automate their investments to generate passive income. With features like commission-free trading and fractional shares, M1 Finance offers a versatile and cost-effective solution for building wealth.
Pros:
- Customizable portfolios
- Commission-free trading
- Fractional shares
Cons:
- Limited research tools
- No tax-loss harvesting for taxable accounts
6. Wealthfront
Wealthfront is a leading robo-advisor providing automated investing and financial planning services. By creating personalized portfolios based on your risk tolerance and financial goals, Wealthfront helps you achieve passive income without active management. The app’s tax-efficient strategies and low fees make it a competitive choice for investors seeking hands-off wealth growth.
Pros:
- Automated investing with personalized portfolios
- Tax-efficient strategies
- Low fees
Cons:
- Limited customization
- No human financial advisors
7. E*TRADE
ETRADE is a well-established brokerage offering a wide range of investment options, including stocks, ETFs, and mutual funds. Known for its extensive research tools and educational resources, ETRADE helps users make informed decisions and generate passive income. The app’s user-friendly interface and commission-free trading options make it a popular choice among investors.
Pros:
- Wide range of investment options
- Robust research tools
- Commission-free trades
Cons:
- Higher fees for managed portfolios
- Complex interface for beginners
8. Fidelity
Fidelity provides a variety of investment options, including mutual funds, ETFs, and stocks, along with retirement planning services. The app’s robust financial planning tools and high-yield investment options make it an excellent choice for generating passive income. With a strong reputation for reliability and trustworthiness, Fidelity is a top contender in the investment app market.
Pros:
- Extensive investment options
- Strong financial planning tools
- Reputable and trustworthy
Cons:
- Fees for some mutual funds
- Complex platform for new investors
9. TD Ameritrade
TD Ameritrade is known for its extensive research tools and educational resources, helping investors make informed decisions and build diversified portfolios. With a wide selection of investment products and commission-free trading options, TD Ameritrade is a solid choice for generating passive income. The app’s comprehensive features cater to both beginners and experienced investors.
Pros:
- Comprehensive research tools
- Wide selection of investment products
- Commission-free trades
Cons:
- Higher margin rates
- Complex platform for beginners
10. Turo
Turo is a peer-to-peer car-sharing platform that allows you to rent out your car for extra income. While not a traditional investment app, Turo provides a unique way to generate passive income by leveraging your vehicle. With an easy-to-use interface and a growing user base, Turo offers a flexible and profitable option for those looking to diversify their income streams.
Pros:
- Unique way to generate passive income
- Flexible rental options
- Growing user base
Cons:
- Wear and tear on your vehicle
- Limited availability in some areas
11. SoFi Active Investing
SoFi Active Investing offers commission-free trading and a range of financial management tools to help users grow their wealth. The app provides access to stocks, ETFs, and cryptocurrency, allowing investors to build a diversified portfolio. With additional features like personalized financial advice and career services, SoFi Active Investing is a comprehensive platform for achieving passive income.
Pros:
- Commission-free trading
- Access to a wide range of investment options
- Personalized financial advice
Cons:
- Limited advanced trading tools
- Fees for some premium services
12. Webull
Webull is known for its commission-free trading and advanced data tools, making it a popular choice for new and experienced investors alike. The app offers a wide range of investment options, including stocks, ETFs, and options, helping users generate passive income. With its comprehensive research tools and user-friendly interface, Webull stands out in the competitive investment app market.
Pros:
- Commission-free trades
- Advanced research and charting tools
- User-friendly interface
Cons:
- Limited customer support
- No fractional shares
13. Interactive Brokers IBKR Lite
Interactive Brokers IBKR Lite provides commission-free trading with access to a wide range of investment options, including stocks, ETFs, and mutual funds. The app’s advanced trading tools and robust research capabilities make it a top choice for investors looking to generate passive income. With a reputation for reliability and a strong focus on customer service, Interactive Brokers IBKR Lite is a valuable addition to any investor’s toolkit.
Pros:
- Commission-free trades
- Access to a wide range of investment options
- Advanced trading tools
Cons:
- Complex platform for beginners
- Inactivity fees
How to Get Started with Investment Apps
Once you’ve identified the best investment apps for your passive income goals, it’s time to get started. Here’s a step-by-step guide to help you set up and maximize your investment journey:
Step 1: Choose the Right App
Start by selecting the investment app that best suits your needs and financial goals. Whether you’re looking for commission-free trading with Robinhood, micro-investing with Acorns, or robo-advisor services with Betterment, ensure the app aligns with your investment strategy.
Step 2: Download and Set Up the App
Visit the app store on your smartphone and download the chosen investment app. Follow the on-screen instructions to set up your account. This typically involves providing some personal information and linking your bank account.
Step 3: Fund Your Account
Transfer funds from your bank account to your investment app. Many apps offer various funding options, including one-time transfers, recurring deposits, and round-ups from everyday purchases.
Step 4: Choose Your Investment Strategy
Determine your investment strategy based on your risk tolerance and financial goals. For example, you might opt for a diversified portfolio with Wealthfront or focus on options trading with tastytrade.
Step 5: Diversify Your Portfolio
To minimize risk and maximize returns, diversify your investments across different asset classes. Apps like M1 Finance and ETRADE* offer a wide range of options, including stocks, ETFs, and mutual funds.
Step 6: Monitor and Adjust Your Investments
Regularly monitor your investment performance and make adjustments as needed. Use the app’s tools and resources to stay informed about market trends and make strategic decisions. Apps like Fidelity and TD Ameritrade provide comprehensive research tools to help you stay on top of your investments.
Step 7: Automate Your Investments
Take advantage of automated investing features to ensure consistent contributions to your portfolio. Apps like Betterment and Acorns offer automation options that make investing effortless and help you stay on track with your financial goals.
Step 8: Learn and Grow
Continuously educate yourself about investing and passive income strategies. Many investment apps provide educational resources, webinars, and tutorials to help you enhance your knowledge. SoFi Active Investing and Webull are known for their robust educational offerings.
By following these steps, you can make the most of your investment apps and set yourself up for financial success. In the next section, we’ll share real-life success stories from users who have successfully generated passive income using these apps.
Conclusion
Investing in the right apps can be a game-changer for generating passive income and achieving financial freedom. As we’ve explored, the 13 best investment apps for passive income in 2025 offer a wide range of features and benefits tailored to different investment styles and goals. From commission-free trading and automated investing to micro-investing and robo-advisors, these apps provide innovative solutions to help you grow your wealth with minimal effort.
By understanding what to look for in an investment app and learning from real-life success stories, you can make informed decisions that align with your financial goals. Whether you’re a beginner starting with Acorns or an experienced trader leveraging tastytrade, there’s an app out there to suit your needs.
Remember, the key to successful investing is to stay informed, diversify your portfolio, and take advantage of the tools and resources available through these apps. With the right strategy and consistent effort, you can build a sustainable stream of passive income and secure your financial future.
Don’t wait any longer—explore these investment apps today and take the first step towards financial independence. Share your experiences and favorite apps in the comments below, and don’t forget to subscribe to our blog for more investment tips and updates.