--- title: "Automated vs. self-directed investing: A guide for military families" description: "Start investing with as little as $1 and build toward your financial goals with flexible options that fit your needs." date: "2026-09-14" modified: "2026-09-14" authors: - name: "Shannon Corbeil" job_title: "Contributor, Air Force Veteran" link: "https://www.wearethemighty.com/authors/scorbeil.md" url: "https://www.wearethemighty.com/sponsored-content/automated-vs-self-directed-investing-a-guide-for-military-families/" categories: - "Sponsored Content" --- # Automated vs. self-directed investing: A guide for military families ![Focused Man Reviewing Finances]() *Sponsored content by Navy Federal Credit Union.* Investing can be intimidating, but as we all should know by now, the best day to start was yesterday. The sooner you begin, the more time your investments have to grow. You don’t even need large upfront deposits—anyone can begin today with as little as one dollar. By understanding your goals, you can make confident investing choices at any level. Digital investing allows you to manage and grow your investments entirely online, whether you prefer a hands-on approach through self-directed accounts or automated portfolio management that makes selections for you. Access stocks, ETFs, and more all from the convenience of your device. You can learn how to start investing for the future, whether you have a short-term goal (like a new car) or a long-term goal (like retirement). Let’s begin by diving into the benefits of automated investments and self-directed ones. ### Automated Investing With an online investment service like the [Navy Federal Investment Services Digital Investor](), you can set your risk preferences and goals, and it will take care of the rest. You can create multiple investment goals and sit back with automatic rebalancing, diversified portfolios, and ETFs (Exchange-Traded Funds). This is a great service for investors who are beginning their journey, busy individuals looking for a hands-off experience, and goal-oriented savers. As an added benefit, you can try this offer for the first 30 days at no additional cost, followed by a low cost of $3.50 per account per month, or $2.50 for Navy Federal Credit Union members with an Active Duty checking account. ### Self-Directed Investing With self-directed investing, you can take control of your own investments with access to a wide range of stocks and ETFs. This allows you to choose your own stocks and investments, conduct trades, and buy fractional shares. This is best suited for experienced investors looking for hands-on management, independent decision-makers, and market enthusiasts. The [Navy Federal Investment Services Digital Investor]() provides research tools to help you make your selections as well as commission-free trades for up to 2,000 shares per trade and only $0.01 per share over 2,000. Navy Federal offers the first 30 days at no additional cost, followed by $3.50 per account per month, or $2.50 for members with an Active Duty checking account. ### Account Types Different accounts work well for different goals or for diversifying your holdings. From individual accounts to joint or custodial accounts, Traditional IRAs, or Roth IRAs, there are many different ways to invest. Using a trusted site means you can rest easy as your money grows. #### Traditional IRA An IRA (Individual Retirement Account) is designed to help invest your money so it can build compound interest and grow over time. A Traditional IRA is best suited for someone who expects to be in the same or lower tax bracket when they withdraw their funds. Traditional IRAs offer immediate tax benefits on contributions, which are then tax-deferred, meaning the account holder will pay taxes on gains when money is withdrawn during retirement. #### Roth IRA A Roth IRA is well-suited for individuals who expect to be in a higher tax bracket at the time of withdrawal. For example, someone who begins saving in their 20s and expects to become wealthier by the time they retire might be better served with a Roth IRA. Contributions to Roth IRAs are made with post-tax gross income, but withdrawals in the future will be tax-free, meaning you only pay taxes on what you contribute, not the fully grown balance or interest. #### Stocks Stock is an equity. When you buy stock, you are purchasing a partial ownership stake in a company, allowing you to share in the company’s profits and growth. Some stocks even pay dividends, a payout of the company’s profits based on per-share ownership; a reward for buying and holding shares. This can provide a source of income or money that can be reinvested into your portfolio. #### ETFs Exchange-Traded Funds (ETFs) are similar to mutual funds in that they pool money. Each fund holds a basket of securities—like stocks, bonds, or commodities—and trades on major stock exchanges just like a regular company stock. When you buy a single share of an ETF, you instantly gain diversified exposure to all the underlying assets held within that fund. When determining where to invest, you want to measure trust and reliability as well as proven tools for success. Navy Federal Investment Services understands the needs of its members, including military families and veterans. They are also backed by a strong reputation and a variety of resources to help make informed decisions. --- *Navy Federal Investment Services, LLC (NFIS) is a licensed insurance agency. Non-deposit investments, brokerage, and advisory products are only sold through Navy Federal Investment Services, LLC (NFIS), a member of FINRA/SIPC and an SEC registered investment advisory firm. NFIS is a wholly owned subsidiary of NFFG. Insurance products are offered through NFIS and NFIS. These products* ***are not NCUA/NCUSIF or otherwise federally insured, are not guaranteed or obligations of Navy Federal Credit Union (NFCU), are not offered, recommended, sanctioned, or encouraged by the federal government, and may involve investment risk, including possible loss of principal.*** *Deposit products and related services are provided by NFCU. Digital Investor offered through NFIS. Financial Advisors are employees of NFIS and they are employees and registered representatives of NFIS. NFIS and NFIS are affiliated companies under the common control of NFCU. Call 1-877-221-8108 for further information.* *This content is intended to provide general information and should not be considered legal, tax, or financial advice. It is always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.* ## Author Shannon Corbeil has worked for We Are The Mighty as a digital video producer, writer, and host, as well as a staff writer covering military history, trivia, and valor. Shannon is a fierce veteran advocate, covering the achievements of members of the military community and volunteering in multiple veteran non-profit organizations, including Pin-Ups for Vets and Warriors for Peace Theatre. Her undergraduate degree is in Humanities and Philosophy and her Masters is in Strategic Intelligence. A screenwriter and actor recently seen on SEAL TEAM and THE ROOKIE, Shannon writes about exciting projects in the entertainment industry. She is an alum of the Writers Guild Foundation Veterans Writing Project, a Finalist in the Disney TV Writing Fellowship, an inaugural fellow for the STARZ/VME #TakeTheLead Program, and has performed at the Geffen Playhouse and Kennedy Center as a writer, dancer, singer, and actor. As a U.S. Air Force Intelligence Officer, Shannon supported the 25th Fighter Squadron at Osan Air Base, South Korea, and conducted Cyber Threat Analysis at the National Security Agency. Her work has been seen in Business Insider, Task & Purpose, Military.com, and various other publications. ### Author social links [Facebook]() [Bluesky]() [Instagram]() [LinkedIn]()