M1 versus vanguard as brokerage

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realquadrant
Posts: 16
Joined: Mon Mar 23, 2020 1:11 pm

M1 versus vanguard as brokerage

Post by realquadrant »

Hi I am investing in vanguard funds, but am liking so far m1 flexibility for rebalancing better and want to slowly put everything in one place.

One advantage that is surprising but keeping me in vanguard has been its reporting: I can more clearly see what is an investment gain over time. Most other reports just show growth in value over time, which doesn’t mean much when I am adding to my account every month.

Any other thoughts of pros and cons of using vanguard as a brokerage? If most funds are available as etfs, it seems I have much more freedom.

The initial reason I came over as flagship was to access the primecap funds but now getting a little skeptical if they are worth holding.

Others who have made the switch one way or he other?
AlohaJoe
Posts: 5572
Joined: Mon Nov 26, 2007 2:00 pm
Location: Saigon, Vietnam

Re: M1 versus vanguard as brokerage

Post by AlohaJoe »

I've used multiple brokerages over the years. Each one has good parts and bad parts. It is really hard to know if the things someone else likes are going to be the things you care about. WellsFargo somehow gives you dividends a full day earlier than other brokerages but otherwise seems to be The Evil Empire. Vanguard doesn't update their records until like 11pm EST. Interactive Brokers makes it challenging to track what happens with specific tax lots. Schwab doesn't sweep funds automatically. These days it is so trivial to switch between brokerages that there's really no reason to overthink it and hyperanalyse it. Use one for a while. See if you like it. If you don't then transfer out.
aristotelian
Posts: 8243
Joined: Wed Jan 11, 2017 8:05 pm

Re: M1 versus vanguard as brokerage

Post by aristotelian »

Hint: to see your gains at M1 you can link your M1 account and look "under the hood" at Apex Clearing: https://public-apps.apexclearing.com/session/#/login
Mario2222
Posts: 64
Joined: Mon Dec 24, 2018 12:16 am

Re: M1 versus vanguard as brokerage

Post by Mario2222 »

Vanguard is my favorite brokerage firm.My Roth IRA is at Vanguard. I have a taxable account at M1 finance. I like M1 finance for the free auto rebalancing option and fractional shares buying of ETFS.
lane7068
Posts: 19
Joined: Sun Feb 23, 2020 12:10 am

Re: M1 versus vanguard as brokerage

Post by lane7068 »

I have my Roth IRA and Taxable at Vanguard, and a little buy and hold play account at M1. I like the idea of buy-and-hold at both places, but with M1 I chose which stocks I want in my pies. So instead of investing in thousands of stocks, I'm investing in 37 that I chose myself. We'll see how Vanguard vs M1 compares percentage wise at the end of the year.
unices
Posts: 5
Joined: Thu Aug 06, 2020 4:18 pm

Re: M1 versus vanguard as brokerage

Post by unices »

AlohaJoe wrote: Thu Aug 06, 2020 9:32 pm I've used multiple brokerages over the years. Each one has good parts and bad parts. It is really hard to know if the things someone else likes are going to be the things you care about.
...
Schwab doesn't sweep funds automatically.
Can you elaborate on the Schwab bit?

If you sell a mutual fund or etf, it doesn't go into a money market fund?
AlohaJoe
Posts: 5572
Joined: Mon Nov 26, 2007 2:00 pm
Location: Saigon, Vietnam

Re: M1 versus vanguard as brokerage

Post by AlohaJoe »

unices wrote: Thu Aug 06, 2020 10:53 pm
AlohaJoe wrote: Thu Aug 06, 2020 9:32 pm I've used multiple brokerages over the years. Each one has good parts and bad parts. It is really hard to know if the things someone else likes are going to be the things you care about.
...
Schwab doesn't sweep funds automatically.
Can you elaborate on the Schwab bit?

If you sell a mutual fund or etf, it doesn't go into a money market fund?
With WellsFargo, excess money automatically gets swept into your checking account. With Vanguard it gets swept into a best of class money market fund. With Schwab, neither of those things happen. The cash from sweeps is how Schwab makes most of their money; they loan it out at much higher rates than they are paying you.

It isn't the end of the world, it just means after I do a transaction (or a day or two later), I have to log back in and do something with that cash. (Usually, I transfer it to my checking account.)
000
Posts: 3261
Joined: Thu Jul 23, 2020 12:04 am

Re: M1 versus vanguard as brokerage

Post by 000 »

Lack of limit orders is a deal killer for me.
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