I have been a fan of M1 Finance for quite some time. Why do I like them?
M1 is an investment platform doesn’t look like it was created in 1995 like so many other companies (I love you Vanguard, but this is you), M1’s interface is slick. Additionally, choosing investments is easy, the sign-up process simple, the app looks great and is functional, you can easily share your investment “Pies” with others, and like all my other recommendations, there is no extra charge to use the platform. M1 doesn’t charge any fees on top of what the funds themselves charge– not too shabby.
By investing with M1 you get the benefit of investing based on your exact preferences and risk tolerance, the advantage of being able to buy fractional shares, and an intuitive platform that uses technology to make the whole process as user-friendly as possible.
I love the clean dashboard that clearly displays your account balance, investment holdings, and your gains. As much as I love Vanguard, they have a lot to learn from the simplicity M1 offers. Trust me, I love Vanguard, but M1 offers the ability to invest in Vanguard Mutual Funds and ETFs on a much more intuitive platform.
It is easy to customize your holdings using M1’s unique Pie portfolio feature. I want to walk you through the simple process of creating a custom Pie.
1. Create your “Pie” by adding “Slices” of Stocks, Funds (ETFs and Index Funds), other Pies in your account, and Expert Pies. I made four selections for this Pie: Vanguard Emerging Markets, Global Value, Vanguard Total Stock Market, and Amazon.
2. Since I’m primarily an Index Fund investor, I decided to put 50% of the Pie into the Vanguard Total Stock Market fund. I’m a believer in Value Funds and Emerging Markets, so I have 40% slices across those two funds. Last, I know that picking individual stocks can be risky, but I’m a sucker for Amazon and I believe in their long-term vision and growth trajectory, so I’m trusting Jeff Bezos with the remaining 10% of this Pie. M1 also allows you to purchase fractional shares, that means you don’t have to fork out over $1000 for one share of Amazon.
Every month when I add more money to M1, my deposit will automatically be allocated according to my desired allocation percentages.
3. Past performance is no indication of future results, but over the past 5 years, this portfolio returned 163%, which means I should expect more volatility with this Pie. The expense ratio for this is 0.12%, which isn’t bad at all considering I have a Global Value fund and Emerging Markets in the mix, which typically have higher fees than purely U.S. funds.
If you really like your Pie, then go ahead share it with your friends!
These are just a few of the reasons why I love and recommend M1. While I have money with multiple companies, I have loved my experience with M1 and deposit more money automatically every month.
Give M1 a try, I think you’ll enjoy it.