Types of Investment Software and How to Choose One

Saving for your future or any other purpose you may wish to achieve is a wise decision that you would want to make. Technology is now more involved in investing than it used to be because of the presence of robo-advisors, micro-investing apps, and analytical tools.

Therefore, selecting the right investment platform is essential to achieving the set goals. The investment software you require will be influenced by your investment strategy, experience, requirements, and cost range.

This guide includes information about the seven most widespread types of investment software to choose from and some pieces of advice on how to make the right decision.

Types of Investment Software

The various types of investment software available in the market today are designed to meet different investors’ needs and wants. Here, we outline the major types of investment software products and their main functions, which can help you understand what solution is the most suitable for you.

The main categories of investment software are as follows: robo-advised investing, trading platforms, portfolio outsourcing services, financial planning tools, research and analysis tools, and investment club management systems. Although there is some correlation in the features, the investment software development differs in such aspects as the purpose, the extent of automation, tools, and features offered, the range of linked financial accounts, and integration with other systems.

1. Robo-Advisors

Robo-advisor platforms use algorithms and automation to build, manage, and optimize investment portfolios based on your financial situation and goals. This allows even beginning investors to create a diversified portfolio with minimal effort.

Popular robo-advisors like Betterment and Wealthfront offer automated portfolio rebalancing, tax-loss harvesting, and access to human advisors. They also offer goal-based savings and investing for objectives like retirement, college savings, or buying a house.

Robo-advisors are best for hands-off investors who want easy diversification without picking individual stocks and ETFs. They charge between 0.25% to 0.50% as an annual advisory fee.

2. Stock Trading Platforms

Stock trading platforms like E*TRADE, TD Ameritrade, and Charles Schwab allow you to research, buy, and sell stocks and ETFs yourself. Most offer desktop, web, and mobile apps.

These platforms provide tools to analyze securities, develop trading strategies, and manage risk. Many have educational resources that are helpful for new investors. Popular features include screening tools, price alerts, virtual trading, and access to reports and financial news.

Self-directed trading platforms suit active investors interested in stock picking and managing their portfolios. Commission-free trading is now common, but other fees can apply.

3. Micro-Investing Apps

Micro-investing apps like Acorns, Stash, and Robinhood help you get started with small amounts of money. They make investing more accessible to younger and first-time investors.

They allow automated transfers from a linked bank account in small increments, like 5 or 10. Some apps provide you with a managed portfolio. Others give you a selection of stocks and ETFs to create your own.

Micro-investing apps provide an easy entry point for passive index fund investing or stock trading. Fees are usually between 1 and 3 per month.

4. Financial Planning Software

Software such as eMoney Advisor, MoneyGuidePro, and RightCapital offer financial advisors an opportunity to assess their clients’ financial status. They can build graphs and charts as well as future estimations regarding retirement, taxes, wills, insurance, and many other aspects to suggest.

Some of the personal finance software like Quicken is also designed for professionals or has similar features to manage money, create budgets and financial plans.

Budgeting software is useful for planning your financial situation in the long run. It brings order and structure that can help identify issues that need to be addressed. These platforms can be charged on a monthly or annual basis.

5. Investment Research Tools

Investment research software assists with analyzing securities like stocks, bonds, and options to make informed investment decisions.

Offerings like MetaStock, TC2000, and VectorVest provide technical analysis with charting and modeling capabilities. Features can include screening, signal generation, backtesting, and more.

Fundamental analysis tools like Morningstar and Zacks Investment Research supply in-depth investment data, ratings, financial reporting, and news.

Research tools suit active investors who want to perform due diligence. Costs vary widely from free to thousands per year depending on the depth of capabilities.

6. Portfolio Management Software

Portfolio management platforms allow you to track the performance of your investments with online dashboards and reporting. You can consolidate information from multiple accounts and visualize asset allocation across your entire portfolio.

Offerings like Personal Capital, SigFig, and Motif Investing sync with brokerage accounts to provide holistic analysis of your portfolio’s risk, returns, fees, and holdings. Some integrate with tax software as well.

Portfolio oversight helps ensure your investments remain aligned with your goals over time. Standalone software tends to have free versions or cost less than $100 annually. Robo-advisors and trading platforms also include portfolio analysis features.

7. Investment Club Software

Investment club software assists groups of people in researching, selecting, and managing an investment portfolio together. Club members pool their money to invest in stocks, bonds, and other securities.

Platforms like TickerClub, Backstop Portal, and Investment Club Accounting facilitate communication, education, record-keeping, and reporting for clubs. Some integrate brokerage functionality.

Joining an investment club allows even small investors to access ideas from others and benefit from the power of combined assets. Participants typically split any profits based on their proportional contributions.

How to Choose Investment Software

With many types of investment software now available, finding the right platform matters. Consider the following criteria when deciding:

Your Goals: Clarify why you are investing and what you want to achieve. Is wealth building or retirement readiness the priority? Platforms like robo-advisors allow goal-based investing.
Investment Style: Determine your desired involvement level. Hands-off investors do better with a robo-advisor. Active traders need tools to analyze securities and execute trades efficiently.
Features: Make a list of must-have features like automated rebalancing, fractional share trading, retirement planning tools, etc. But don’t overpay for unnecessary bells and whistles.
Cost: Calculate all-in costs, including management fees, trading commissions, account minimums, and any other charges. Find reasonable costs for the value delivered.
Ease of Use: The platform should have an intuitive interface and helpful resources like videos and chat support to guide you. New investors may prefer simplicity over complexity.
Security: Check that the company uses bank-level encryption, SEC/FINRA registration, and independent auditing to protect your personal information.

By balancing these factors against your needs as an investor, you can find software that fits your budget and style while helping you pursue your financial goals. The right platform provides peace of mind that your hard-earned money is working for you now and into the future.

Types of Investment Software Compared

Software Type	Best For	Key Features	Typical Cost	Top Providers
Robo-Advisors	Hands-off investors seeking automated guidance	Portfolio creation and management, automated rebalancing and tax-loss harvesting, retirement and goal-based tools, access to human advisors	0.25% – 0.50% annual fee	Betterment, Wealthfront, Ellevest, SoFi, Schwab Intelligent Portfolios
Stock Trading Platforms	Active traders who want to pick securities and make buy/sell decisions	Trading capabilities, screening and filtering tools, charting and analysis, virtual trading, trading groups and social features, trading courses and alerts	0−20 per trade, possible account, data, platform fees	E*TRADE, TD Ameritrade, Charles Schwab, Interactive Brokers, TradeStation
Micro-Investing Apps	Beginner investors ready to start small	Automated recurring investments, fractional share investing, managed portfolios, limited selection of ETFs and stocks	1−3 per month	Acorns, Robinhood, Stash, Betterment Everyday
Financial Planning Software	Advisors and investors taking a big-picture view	Retirement, estate, insurance, and tax planning, cash flow and budgeting tools, projections and recommendations	50−3,000+ annually	eMoney Advisor, MoneyGuidePro, Quicken, RightCapital, Personal Capital
Investment Research Tools	Active investors analyzing securities and funds	Charting, modeling, screening, filtering, signal generation, backtesting, fundamental data	10,000+ annually	MetaStock, TC2000, Morningstar, VectorVest, Zacks Investment Research
Portfolio Management Software	Investors tracking performance across accounts	Aggregated reporting, performance measurement, asset allocation analysis, fee tracking	Often free, up to $100+ annually	Personal Capital, SigFig, Motif Investing, Quicken
Investment Club Software	Groups jointly investing small sums	Group communication, education, record keeping, reporting, and possibly trading	0−3,000+ annually	TickerClub, Backstop Portal, Investment Club Accounting

Key Takeaways

Match your investment style and needs to software with suitable features, level of complexity, and costs.
Robo-advisors provide automated, diversified portfolios with minimal effort using algorithms.
Stock trading platforms allow active investors to pick securities while providing helpful tools and research.
Beginners can start investing small amounts through user-friendly micro-investing apps.
Financial planning software helps analyze your whole financial picture over time to optimize decisions.
Research tools assist investors in conducting security and fund analysis to make informed decisions.
Portfolio management platforms help track performance across investment accounts.
Investment club software enables groups to combine resources and work together to invest.

The right investment technology can provide structure, guidance, tools, and convenience to help individuals and groups pursue their financial growth strategies. Determining what best supports your investing approach is key to choosing software that meets your ongoing needs. With an abundance of options now available, finding a good fit is achievable for investors at every stage.

7 Types of Investment Software and How to Choose One was last modified: September 1st, 2025 by Billy Guteng

Written by Billy Guteng. August 12, 2024

Billy is a content writer for Kukun. He was born in France, and has lived in multiple cities around the world ever since. He loves art, design and architecture as well as construction and real estate.