Folio Investing Accounts

GFM can now open and manage accounts held at Folio Investing, which has been owned by Goldman Sachs in late 2020. Folio has been an early pioneer in enabling even small accounts to directly invest in custom portfolios of fractional shares, effectively allowing you to make your own mutual fund at institutionally low levels of cost.

The main advantages of having your account at Folio include:

  • Account opening in minutes with a US address and answers to 20 questions
  • Support for the widest range of US account types, including traditional, Roth, SEP and SIMPLE IRA accounts, revocable and irrevocable trust accounts, corporate accounts and 401(k) plans
  • A smooth experience of having smaller accounts and larger accounts invested uniformly, without limitations due to large share prices, etc.

The costs of having your account at Folio are competitive with other platforms like Interactive Brokers, with a flat cost of 0.10-0.18%/year including all trading costs, rather than separate trading costs.

The main disadvantage of Folio over Interactive Brokers is that Folio requires a US address, and limits investments to US stocks and funds in US dollars, so is best fit for clients not needing the fully international support of Interactive Brokers.