M1 Finance Tutorial | How To Use M1 Finance For Beginners!

TL;DR

This video tutorial provides a step-by-step guide on how to use the M1 Finance investing app, covering portfolio building, expert pies, and portfolio rebalancing.

Transcript

• So in this video today we are going to be doing a tutorial of the M1 Finance investing app. I'm gonna be showing you guys around the app and talking about some of the basic functions that you need to be familiar with as somebody who is investing with this platform. Now that being said, if you decide at the end of this video that you want to open ... Read More

Key Insights

• 😀 M1 Finance is a free investing app that offers portfolio-based investing, allowing users to create or choose expert pies.
• 👻 The platform allows fractional shares, making it possible to build a diversified portfolio with as little as $100.
• 🎯 Automatic rebalancing helps maintain target allocations and minimize portfolio drift.

Questions & Answers

Q: How does M1 Finance differ from other investing apps?

M1 Finance focuses on portfolio-based investing, allowing users to design their own portfolios or choose from expert pies, unlike apps like Robinhood that solely focus on buying whole shares of stocks.

Q: Can I invest in multiple portfolios with M1 Finance?

Yes, M1 Finance allows users to create multiple portfolios, track their progress, and even benchmark different portfolios such as dividend-oriented or growth-oriented ones.

Q: What is portfolio drift and how does M1 Finance address it?

Portfolio drift refers to when a portfolio's allocations deviate from the target allocations. M1 Finance automatically rebalances portfolios by directing additional investments towards underweight stocks or ETFs to maintain target allocations.

Q: How does M1 Finance generate revenue?

M1 Finance generates revenue by directing order flow and through their M1 Borrow feature, which enables margin trading. They do not charge fees or commissions to customers.

Summary & Key Takeaways

• The video tutorial offers a comprehensive overview of the M1 Finance app and its basic functions for investing.

• The platform allows users to create and customize their own portfolios or choose from prebuilt expert pies.

• M1 Finance offers portfolio-based investing, fractional shares, and automatic rebalancing to maintain target allocations.