Editorial Team

Robinhood vs. Unifimoney – Which is the Better Investment App?

Different people have different ideas about investments. Some prefer to play it safe, earn interest on their savings, and consider that investing. But it’s the bare minimum. To maximize the potential of your savings, you need to invest it. And that’s where Robinhood and Unifimoney come in.

To invest your money, you need a brokerage account (or an investment account). But choosing the right brokerage can be tricky, especially if you are uninitiated in the world of investing. It’s also a subjective choice since some people prefer to handle every investment choice and decision by themselves (self-directed), whereas others prefer a more “structured” approach and professional help. 

Comparing Robinhood and Unifimoney is a bit different than comparing other investment apps and brokerages because unlike Robinhood, Unifimoney offers more than just the right investment tools and options.



Robinhood vs. Unifimoney: Overview 

Robinhood and Unifimoney both allow you to invest your money in stocks, funds, crypto, and precious metals, and they also help you earn an Annual Percentage Yield (APY) on the money that you haven’t yet invested in a specific asset. But there are several other differences that you as an investor need to know about.

Robinhood

Robinhood is a DIY investment app that has carved out a place for itself in the self-directed investment landscape. It was the first to offer commission-free investment, a feature that led to its rapid rise in popularity. But in 2019, Charles Schwab also introduced zero-commission investing, and most of the brokerages mimicked its move. Robinhood lost its primary edge. 

While it's still a great app, if you want to dabble in investments yourself and offer better returns than most checking accounts on your cash that's just sitting in the brokerage account, its scope is pretty limited. It’s ideal for people who know a lot about investing, the stock market, different funds, and how to manage their own portfolio, but that’s about it. It has expanded its range of products and introduced cash-management: An extension to your brokerage account with Robinhood that lets you use it like a checking account (and you get a debit card).

Unifimoney

Unifimoney was created with more than investing in mind. It was created as a comprehensive, easy-to- use financial and money management tool that combines your banking and investing needs in one neat package. You can open a three-in-one account with Unifimoney, which acts as your checking, savings, and investing accounts. This allows you to manage and invest your money through a single source, and you are not directing funds from your checking account to your savings and brokerage accounts and keeping track of it in three different places.

The APY it offers, while lower than what Robinhood, is more lucrative because it’s on your deposits in your hybrid Unifimoney account. That’s fundamentally different from what Robinhood offers because you usually direct only part of your income to your brokerage account, and a fraction of it sits un-invested, while you receive all your income in your checking account. And earning 0.2% on $30,000 a month is significantly better than earning 0.3% on $3,000. 

Robinhood vs. Unifimoney: Investing


Robinhood is great for investing if you already know how to invest, or you are learning to invest and manage your portfolio yourself. 

Unifimoney offers this as well. You can direct your investments yourself without paying any commissions. But you’ll have more options with Unifimoney, and you can control your risk-profile better by investing in safe-haven metals like gold. It also allows you to invest in a wider range of cryptocurrencies and benefit from their volatility. The transaction rounding might not seem that much big a deal, especially to high-earners, but that small change growing over time can become quite substantial, given enough time.

But the key difference comes with Unifimoney’s Robo-investment. All three of its tiers (Basic, Advanced, and Pro) come with the re-balance feature (Annually, quarterly, and monthly), ensuring that your portfolio is moving in the right direction and is balancing your growth goals and risk appetite. But the best part is that the AI that powers Unifimoney’s robo-advisory services is significantly better equipped to read the market and make timely investment decisions (like selling securities before a market crash or buying at the cusp of recovery) than any individual. It’s like a computer playing chess. The Tenjin AI is a machine-learning based robo-advisor that reads the market in a much more comprehensive manner than you, as an individual, simply can’t. Therefore, it makes decisions that ensure maximize returns while staying within your risk profile. 

This power is enhanced by the AI’s cash-asset balancing. By ensuring the presence of an adequate amount of cash in the mix, the AI doesn’t just maintain the portfolio volatility levels that match your risk profile, but also has enough liquidity at disposal so that the robo-advisor can invest in growth-oriented ETFs when the market conditions are ideal. Simply put, this robo-advisor is already beating the market now, imagine what it would be able to do in five years. 

As evident from the AI’s performance, it places you on the right side of investment’s “no-risk, no reward” strategy. 

Robinhood vs. Unifimoney: Similarities and Key Differences

The two platforms are similar because:

  • Both offer zero-commission, self-directed investments.
  • Allow you to invest in stocks, funds, ETFs, and crypto.
  • Both are SIPC insured.

But there are more differences than similarities between the two:

  • Unifimoney fulfills your complete banking needs, including a credit card.
  • Unlike Robinhood, Unifimoney has fees and minimum-balance requirements because it allows the company to stay operational without resorting to alternate ways of generating revenues (like sharing their investors' information).
  • Unifimoney offers additional services like home refinancing, car loans, and home improvement loans.
  • Unifimoney offers traditional banking tools like a checkbook.
  • Robinhood doesn’t help much in regards to stock research. In contrast, Unifimoney’s state-of-the-art robo-advisors help manage your portfolio for optimal growth and output.

Verdict

Both Robinhood and Unifimoney have their strengths and weaknesses. Robinhood is a great way for people to start investing without spending any money on fees and deposits, but its capacity is limited to a brokerage account. Unifimoney, on the other hand, allows you to handle all your income, savings, and investment on one, cutting-edge platform. It’s a neo-bank with an amazing investment platform that can help you grow your wealth and meet all your immediate and long-term investment goals. 

Our verdict is that compared to Robinhood, more people would benefit from using Unifimoney as their one checking, savings, and investment platform.

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