M1 Finance (commonly abbreviated as M1) is an American financial services company that 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 also provides margin lending, automatic rebalancing services, automatic dividend reinvestment services, and cash management services including debit cards.
 | |
| Company type | Privately held company |
|---|---|
| Industry | Fintech |
| Founded | April 20, 2015 |
| Founder | Brian Barnes |
| Headquarters | 200 N LaSalle St Ste. 800, , |
Key people | Brian Barnes (Founder, CEO) |
| Products | M1 Borrow M1 Invest M1 Spend |
| Services | Commercial banking Stock brokerage Wealth management Electronic trading platform |
| AUM | $8.0 Billion USD (2024) |
| Members | 500,000 (2021) |
Number of employees | 300 (2021) |
| Parent | M1 Holdings Inc. |
| Website | www |
The company receives payment for order flow, makes revenue from interest on margin loans, subscription fees, and interchange fees from its credit card.[1] The platform has over $6 billion in assets under management.[2] M1's headquarters is located in Chicago, Illinois. As of 2021[update], the company had over 500,000 members.
Part of M1 Finance's investment strategy involves micro-investing. It allows users to select a portfolio and have the platform automatically invest additional funds in pre-defined ratios using fractional share ownership.
History
editThe company was founded in 2015 by Brian Barnes in Chicago.
Micro investing service
editMicro-investing refers to 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 increased in popularity in the 2020s 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 using fractional shares. Micro-investing makes it easier for individuals to build a diversified investment portfolio and start investing even with limited funds.[3][4]
References
edit- ^ Tritsch, Shane (March 28, 2019). "A Broker for the New App Economy". Crain Communications.
- ^ "M1 Finance raises $150M in SoftBank-led Series E, boosts valuation to $1.45B". TechCrunch. Retrieved 2021-07-19.
- ^ Lucchetti, Aaron. "E-Tailers Allow Buyers to Add Fund Investments to Carts". WSJ. Retrieved 2023-04-20.
- ^ "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.
External links
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