Opening an Account
Opening an account with M1 Finance is easy!
First, don’t forget to use my M1 Finance Link to receive your first $10 free!
Free money is always good!
Next, check out this short introductory video to learn more about building your M1 portfolio, navigating your account, and connecting your bank account.
More Pie Please
M1 Finance has created what they refer to as the Pie.
It’s not something you can eat. It’s just the UI (User Interface).
It is an easy way to build and manage your portfolio.
Here’s how it works:
Choose individual investments and add them to your Pie
Each stock you pick will represent a “slice” of the Pie.
So if you own Apple and Google, you’d have two slices in your Pie.
If you have the “FAANG” expert pie. Facebook, Apple, Amazon, Netflix & Google. You would have five slices.
Define the target weight of each slice
This is how much of your portfolio you want to be dedicated to that particular slice.
For instance, if you want 10 percent of your Pie (portfolio) to be in Google stock, you’d set that slice to 10 percent in your pie.
M1 Finance allows for the purchase of partial shares, so this percentage will always be around 10 percent until you change it.
Fund your Pie
As you deposit money into your account, the money is spread across the various slices of your Pie.
So, for simplicity, if you had a pie with 10 percent Google, 20 percent Apple, and 70 percent Amazon, your deposits would follow that split.
A $100 deposit would give send $10, $20, and $70 to each investment accordingly.
Watch your portfolio perform
Over time, the ratios will get out of whack because stocks grow or decline in value.
You can visually see this as you look at your overall Pie.
You don’t have to do anything. Nada. Zilch.
The automation process kicks in and does it for you.
See it re-balance
As you deposit new funds, the slices will go back to their designated targets so you will always have a balanced portfolio.
Add, remove, and edit slices.
If you don’t like a slice, remove it (this is like selling the stock).
If you want a new slice, add it (buy stock).
Or you can edit the slice to a different percentage, and M1 will adjust it accordingly for YOU.
The Pie also features what M1 Finance calls Expert Pies.
According to their website, “M1 Expert Pies use proven methodologies used by some of the world’s most successful brokerages and advisers.”
Finally, you can create a completely Custom Pie to look however you want.
M1 says that you can pick “individual stocks, ETFs and even combine with Expert Pies to build your ideal long-term portfolio.”