Best Roth IRAs of 2023

Fidelity Investments is our top choice for the best Roth IRA account provider. That’s the result of a combination of very low costs and a wide variety of investment options. With a Fidelity Roth IRA, you can trade nearly any major stock, exchange-traded fund (ETF), or mutual fund available, including Fidelity’s family of low-cost funds.

Fidelity offers a suite of accounts and products that would allow you to handle all your finances with one login, including your banking and investments. While many users will feel comfortable using the main, self-directed Fidelity Roth IRA for free, you can also choose a robo-advisor version for a low cost or a full-service investment advising service for a higher fee. Different minimums and costs apply to those accounts.

With a funded account, you can buy from a huge list of more than 7,000 domestic and international stocks and ETFs, more than 10,000 mutual funds, options, fixed income investments, and precious metals. Access to such a wide range of investments, mostly fee-free, makes the Fidelity Roth IRA an excellent choice.

Charles Schwab made the list of best Roth IRA accounts due to low costs, a large list of supported investments, and the ability to handle all your banking and investment needs with one provider. Schwab’s automated investment program, Schwab Intelligent Portfolios, is a standout offering with no commission or advisory fees. Schwab Intelligent Portfolios supports taxable and retirement accounts, including the Schwab Roth IRA.

The brokerage’s Roth IRA account has no minimum deposit and no recurring fees. Users can trade many securities, including stocks and ETFs, without commissions. Schwab accounts give you access to most major U.S. and international stocks, more than 2,000 ETFs, thousands of mutual funds, bonds and other fixed income securities, and others.

The fee-free robo-advisor product may be a major draw if you're less knowledgeable about picking investments. You also might like that Schwab offers free checking and savings accounts, with no fee for ATMs anywhere in the world. But even if you only want a simple Roth IRA account offering, the Schwab Roth IRA is a good option to consider.

Merrill Edge is the consumer investment side of Bank of America and a legacy of the original Merrill Lynch brokerage firm. We like the Roth IRA from Merrill Edge because of its low costs and the variety of investments available for self-directed accounts. This account has no minimum balance requirements or recurring monthly fees. Robo-advising and full-service advising are available for a fee.

With a funded account, you can invest in stocks, bonds, options, ETFs, and “well-known mutual funds.” Most trades are commission-free when you enter them yourself online.

The best benefits come to those who have high combined balances at Bank of America and Merrill Edge. Preferred Rewards benefits start at $20,000 in combined balances and include discounts and perks with banking, credit card, lending, and investment products. As your balance increases and passes certain thresholds, those benefits increase. If you’re excited by the idea of getting more benefits as you save and invest, the Merrill Edge Roth IRA could be right for you.

Wealthfront is an automated robo-advisor. New customers answer a few questions about their age, investment goals, and risk tolerance. Based on your answers, you then are assigned to a professionally-designed portfolio for people with a similar investor profile. It’s very easy to use, and you don’t need a lot of investment knowledge. Portfolios are made up of ETFs.

With any Wealthfront investment account, including the Roth IRA, there’s a required annual fee of 0.25% of your portfolio value. But that’s likely all you will pay, as trades and portfolio management are included with that fee. Savvy investors may prefer to pick their own investments to avoid paying the fee, but less-experienced investors may find this to be a bargain.

While you can take a mostly hands-off approach, there are options to pick specific investment themes, such as socially responsible investments or cryptocurrency funds. You could handle all your banking and investment needs at Wealthfront, but the automated investment product is what makes it stand out for Roth IRA retirement accounts.

M1 Finance offers a unique method of investing in a Roth IRA. In some ways, it’s a combination of a robo-advisor and self-directed brokerage account. You can pick single stocks or funds as part of your portfolio, called an investment “Pie.” Or you can pick a pre-designed “Expert Pie” aligned with your goals.

Every time you add funds to your account or make a withdrawal, M1 automatically splits it up among your Pie investments. It also rebalances for you periodically to keep your portfolio in line with your Pie selections. There are no fees other than when you close or transfer out an account.

With additional banking and lending products, it’s easy to keep all your finances at M1. The Roth IRA requires a $500 minimum investment to get started. The low costs and unique Pie investment model make it a good choice for a wide range of investors.

Betterment is an automated robo-advisor, where your investments are assigned to a professionally-designed portfolio optimized for investors with similar needs. The basic plan requires a 0.25% annual fee. If you upgrade to work with a human advisor, you’ll pay 0.40%. The human-assisted plan requires a $100,000 minimum investment, while the basic doesn’t have any minimum requirements.

The tools at Betterment help you know if you’re on track to meet your retirement goals. The basic robo-advising platform is easy to use and suitable for nearly any investment goal. If you have the higher minimum balance and are willing to pay the higher 0.40% fee, you can get many of the benefits of working with a traditional financial advisor as well.

Betterment makes it possible to do your banking and investing under one roof. While you have less control over your specific investments, this robo-advising platform is ideal for those who want a hands-off investment experience.