M1 Review

Long-term investors using automated portfolios

SEC FINRA

Founded 2015 · M1 Holdings Inc.

Why investors choose this broker

No commission, trading or management fees on self-directed brokerage accounts
Pies invest new deposits toward target allocations automatically
Dynamic rebalancing buys underweight Slices first
One-click rebalancing returns a Pie to preset targets

Review summary

M1 combines automated Pies for stocks, ETFs, funds and crypto with scheduled trade windows, cash accounts and margin loans.

Pros

No commission, trading or management fees on self-directed brokerage accounts
Pies invest new deposits toward target allocations automatically
Dynamic rebalancing buys underweight Slices first
One-click rebalancing returns a Pie to preset targets
Cash accounts show 3.10% APY and FDIC insurance up to $4.75 million
Margin loans shown at 5.65% with no minimum payment or late fees
Crypto Pies use Bakkt custody and can trade 7 days a week

Cons

$3 platform fee applies below $10,000 in M1 assets unless waived
Trades execute during scheduled trade windows, not in real time
Crypto holdings are not FDIC or SIPC insured
Crypto on-demand trading is limited to 10 trades per calendar month
Margin loans require at least $2,000 invested in eligible accounts
Crypto can't be included in an IRA
Outgoing account transfers cost $100

Company background

M1 is a financial platform built around long-term investing, automated portfolio management and cash management. Founded in 2015, it offers self-directed brokerage accounts, retirement accounts, custodial accounts, trust accounts, crypto accounts, high-yield cash accounts and margin loans. Its main investing feature is the M1 Pie, where each Slice represents stocks, funds or crypto with a target allocation.

Fees and pricing

M1 Finance, LLC does not charge commission, trading or management fees for self-directed brokerage accounts, although other fees can apply. A $3 monthly platform fee applies to clients with less than $10,000 in M1 assets unless they have an active Personal Loan. Regulatory trading fees may apply when selling stocks or ETFs, and the fee schedule lists charges such as $100 for outgoing account transfers, $25 for domestic wire transfers and $3 for the IRA monthly fee when exceptions do not apply.

Crypto accounts are free to open for clients with a funded Invest Account. M1 does not charge crypto commissions, but Bakkt assesses a 1% or 100 basis point fee on crypto purchases and sales, reflected in the execution price. M1 Margin Loans are shown at 5.65% and are available to eligible accounts with at least $2,000 invested.

Regulation and safety

Brokerage products and services are offered by M1 Finance LLC, an SEC registered broker-dealer and member of FINRA and SIPC. Securities in an account are protected by SIPC up to $500,000. High-Yield Cash Account balances are eligible for FDIC insurance up to an aggregate total of $4.75 million once swept to partner banks. Crypto holdings are not FDIC or SIPC insured.

Platform experience

M1 focuses on automated investing rather than real-time manual trading. Deposits can be invested into Pies according to target allocations, underweight holdings are bought first, and users can rebalance toward preset targets with one click. Trades are executed during scheduled trade windows. M1 also provides iOS and Android apps, with ratings shown on the website for the Apple App Store and Google Play store.

Pros and cons

M1 gives long-term investors control over portfolio design while automating deposits, allocation targets and rebalancing. The main limitations are the $3 platform fee for smaller balances, scheduled trade windows instead of real-time execution, crypto transaction costs and product restrictions such as crypto not being available in IRAs.

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Open an account directly with the broker. Confirm current fees and account eligibility on the broker's website before depositing.

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Your capital is at risk. Other fees apply.

Trading fees & commissions

M1 Finance, LLC does not charge commission, trading or management fees for self-directed brokerage accounts, but other fees may apply. A $3 monthly platform fee applies below $10,000 in M1 assets unless an active Personal Loan is held. Bakkt assesses a 1% or 100 basis point fee on crypto purchases and sales, and M1 Margin Loans are shown at 5.65%.

Fees

Item	Fee
Check	$25
Crypto	Bakkt is assessing 1% or 100 basis points fee to all crypto transactions on purchases and sales, reflected in the execution price
Margin	5.65%
Account	No commission, trading, or management fees for self-directed brokerage accounts
Platform	$3 monthly platform fee
Direct Ach	Direct ACH deposits from or to your connected bank account are always free
Drs Transfer	$115
Regulatory Sec	total price of transaction x $0.00002060
Regulatory Taf	$0.000195 per share (up to $9.79 max per trade)
Ira Monthly Fee	$3
Mutual Fund Sales	$50
Margin Eligibility	available on margin accounts with at least $2,000 invested per account
Ira Termination Fee	$100
Minimum Balance Fee	$50
Platform Fee Waiver	Waived if opened M1 Invest or Earn accounts settled aggregate balance equals or exceeds $10,000 for at least one day during the 30-day billing period, or with an active M1 Personal Loan
Tod Account Transfer	$200
Domestic Wire Transfer	$25
Cash Account Min Deposit	$100
Account Transfer Incoming	$0
Account Transfer Outgoing	$100
Ach Notice Of Change Correction	$5
Returned Checks Ach Wires And Recalls	$30
Crypto Outgoing External Wallet Transfer	$150

Trading platform & features

Platforms

iOS app
Android app

Regulation and investor protection

M1 Finance LLC is an SEC registered broker-dealer and member of FINRA and SIPC. Securities are protected by SIPC up to $500,000, while eligible High-Yield Cash Account balances are FDIC-insured up to an aggregate total of $4.75 million once swept to partner banks.

Broker FAQs

Is M1 safe?

M1 Finance LLC is an SEC registered broker-dealer and member of FINRA and SIPC. Securities in an account are protected by SIPC up to $500,000.

Is M1 a scam?

No. Brokerage products and services are offered by M1 Finance LLC, an SEC registered broker-dealer and member of FINRA and SIPC.

Is M1 regulated and by whom?

M1 Finance LLC is an SEC registered broker-dealer. It is also a member of FINRA and SIPC.

What products does M1 offer?

M1 offers self-directed brokerage accounts, retirement accounts, custodial accounts, trust accounts, crypto accounts, High-Yield Cash Accounts and margin loans. Investment choices named by M1 include stocks, funds, ETFs and crypto.

Does M1 offer ETFs?

Yes. M1 mentions ETFs as part of its brokerage and retirement investing offer, and users can build portfolios with stocks, funds and ETFs.

Does M1 offer crypto?

Yes. M1 offers Crypto Accounts provided by Bakkt, and crypto assets can be organized into Crypto Pies.

What cryptocurrencies does M1 support?

M1 lists Aave, Avalanche, Bitcoin, Bitcoin Cash, Cardano, Chainlink, Ethereum, Hedera Hashgraph, Litecoin, Polkadot, Polygon, Solana, SUI and XRP.

Are there hidden fees at M1?

M1 does not charge commission, trading or management fees for self-directed brokerage accounts. Other fees can apply, including platform, regulatory, account closure, ADR and account service fees.

What does M1 charge for stock trades?

M1 does not charge commission, trading or management fees for self-directed brokerage accounts. Regulatory expenses can apply when users sell a stock or ETF.

Does M1 charge an inactivity fee?

The fee schedule lists a $50 minimum balance fee for accounts with up to $50 and no trading or deposit for 90+ days.

Is there a withdrawal fee at M1?

Direct ACH deposits from or to a connected bank account are always free. The fee schedule lists $25 for domestic wire transfers, $25 for checks and $150 for outgoing external wallet transfers charged by Bakkt.

What is the minimum deposit at M1?

The M1 High-Yield Cash Account requires a minimum initial deposit of $100 for the stated APY. M1 Margin Loans require at least $2,000 invested per eligible account.

Does M1 have a mobile app?

Yes. M1 links to apps on the Apple App Store and Google Play store, with ratings shown as 4.7 on the Apple App Store and 4.5 on the Google Play store.

How does M1 trade?

M1 uses a proprietary trading system to automate trading activity. Buys are queued and executed during trade windows, so users do not have to enter every trade manually.

Is M1 good for long-term investing?

M1 is built around long-term investing, automated deposits, target allocations and scheduled trade windows. Its Pies can buy underweight holdings first and rebalance toward preset targets.

Can I add crypto to my M1 IRA?

No. M1 says crypto can't be included in an IRA, although stocks and ETFs can be used in an M1 IRA.

Bottom line

M1 suits long-term investors who want to design their own portfolio and automate deposits, allocation targets and rebalancing. It is less suitable for users who need real-time trading, crypto inside an IRA, or fee-free service below the platform-fee waiver threshold.

Long-term investors using automated portfolios

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Your capital is at risk. Other fees apply.