M1 Finance

Last updated
M1 Finance
Company type Privately held company
Industry Fintech
FoundedApril 20, 2015;9 years ago (2015-04-20)
FounderBrian Barnes
Headquarters200 N LaSalle St Ste. 800, ,
Key people
Brian Barnes (Founder, CEO)
ProductsM1 Borrow
M1 Invest
M1 Spend
Services Commercial banking
Stock brokerage
Wealth management
Electronic trading platform
AUM $8.0 Billion USD (2024)
Members500,000 (2021)
Number of employees
300 (2021)
Parent M1 Holdings Inc.
Website www.m1.com

M1 Finance (commonly abbreviated as M1) is an American financial services company. Founded in 2015, the company offers a robo-advisory investment platform with brokerage accounts, digital checking accounts, and lines of credit. M1 offers an electronic trading platform for the trade of financial assets including common stocks, preferred stocks, fractional-share ownership, and exchange-traded funds. It provides margin lending, automatic rebalancing services, automatic dividend reinvestment services, and cash management services including debit cards. The company receives payment for order flow. [1] The platform has over $6 billion in assets under management. [2] M1's headquarters is located in Chicago, Illinois. As of November 2021, the company had over 500,000 members.

Part of M1 Finance's investment strategy involves micro-investing. Micro-investing refers to the practice of investing small amounts of money, usually in the range of a few dollars to a few hundred dollars, into financial assets such as stocks, mutual funds, exchange-traded funds (ETFs), or other investment vehicles.

Micro-investing has become increasingly popular in recent years, in part due to the rise of mobile apps that make it easy and accessible for people to invest small amounts of money with low fees. Micro-investing can help individuals build a diversified investment portfolio and start investing even with limited funds. It can also help individuals develop good saving habits and financial discipline. [3] [4]

Related Research Articles

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<span class="mw-page-title-main">Financial market</span> Generic term for all markets in which trading takes place with capital

A financial market is a market in which people trade financial securities and derivatives at low transaction costs. Some of the securities include stocks and bonds, raw materials and precious metals, which are known in the financial markets as commodities.

Investment is traditionally defined as the "commitment of resources to achieve later benefits". If an investment involves money, then it can be defined as a "commitment of money to receive more money later". From a broader viewpoint, an investment can be defined as "to tailor the pattern of expenditure and receipt of resources to optimise the desirable patterns of these flows". When expenditures and receipts are defined in terms of money, then the net monetary receipt in a time period is termed cash flow, while money received in a series of several time periods is termed cash flow stream.

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A financial system is a system that allows the exchange of funds between financial market participants such as lenders, investors, and borrowers. Financial systems operate at national and global levels. Financial institutions consist of complex, closely related services, markets, and institutions intended to provide an efficient and regular linkage between investors and borrowers.

Investment management is the professional asset management of various securities, including shareholdings, bonds, and other assets, such as real estate, to meet specified investment goals for the benefit of investors. Investors may be institutions, such as insurance companies, pension funds, corporations, charities, educational establishments, or private investors, either directly via investment contracts/mandates or via collective investment schemes like mutual funds, exchange-traded funds, or Real estate investment trusts.

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<span class="mw-page-title-main">Merrill Edge</span> Electronic trading platform provided by BofA Securities

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HDFC Securities Limited is a financial services intermediary and a subsidiary of HDFC Bank, a private sector bank in India. HDFC Securities was founded in year 2000 and is headquartered in Mumbai, with branches across major cities and towns in India.

Hedgeable, Inc. is a U.S. based financial services company and digital wealth management platform headquartered in New York City. Hedgeable doesn't follow set allocations, but actively manages accounts in response to market movements.

Wealthsimple Inc. is a Canadian online investment management service. The firm was founded in September 2014 by Michael Katchen, Brett Huneycutt, Som Seif, and Rudy Adler and is based in Toronto. As of January 2024, the firm holds over C$30 billion in assets under management. It is primarily owned by Power Corporation indirectly at 54.2% through investments made through their holdings in Power Financial, IGM Financial and Portag3.

Stash Financial, Inc., or simply Stash, is an American financial technology and financial services company based in New York, NY. The company operates both a web platform and mobile apps, allowing users to incrementally invest small amounts, commonly known as micro-investing. It also provides robo advice. By summer 2017, it had approximately 1 million users. As of July 2020, the number has grown to over 5 million.

Acorns is an American financial technology and financial services company based in Irvine, California, that specializes in micro-investing and robo advice. According to Fortune's Impact 20 list for the year 2020, Acorns had 8.2 million customers. In 2022, their total assets under management exceeded $6.2 billion.

References

  1. Tritsch, Shane (March 28, 2019). "A Broker for the New App Economy" . Crain Communications .
  2. "M1 Finance raises $150M in SoftBank-led Series E, boosts valuation to $1.45B". TechCrunch. Retrieved 2021-07-19.
  3. Lucchetti, Aaron. "E-Tailers Allow Buyers to Add Fund Investments to Carts". WSJ. Retrieved 2023-04-20.
  4. "The Innovators – Meet the 65 Companies and Their Owners Who Have Conjured Up the Latest Wave of Products, Services, and Technologies". money.cnn.com. May 1, 2001. Retrieved 2023-04-20.