If you want to invest directly in stocks, fractional shares are the best alternative to buying penny stocks. You can buy shares with as little as $1 with some brokers, giving you fractional ownership in the company. Brokers can also provide resources to help you learn how to invest money in a more effective way. If you'd rather have someone else manage your money, consider a robo-advisor, which will create a diversified portfolio using computer algorithms based on your risk tolerance.