Managing your finances can be a very difficult and stressful task. Keeping track of what is coming in and out of your accounts, planning how much you can spend and how much you need to save for future events can be overwhelming.
As technology is on the rise, there has been many financial platforms that have been developed to solve this issue such as, portfolio trackers.
What Is a Portfolio Tracker?
A portfolio tracker is a tool that allows users to consolidate all their financial accounts onto one platform. This helps you track your assets and liabilities and manage them with ease. An example of this Strabo.
Benefits of Using a Portfolio Tracker
Investors can benefit greatly from using a portfolio tracker since it gives them a comprehensive picture of their investments, keeps tracks and monitors their investments, and helps them make well-informed decisions to improve their portfolios.
It is especially beneficial for people who like to handle their finances on their own or for those who have several accounts as everything can be managed and tracked under one platform.
Key Features of a Portfolio Tracker
Here are some key features that a portfolio tracker can provide:
- Real time data: Provides investors with the most recent market prices for every asset in your portfolio and real time updates on the overall performance of the portfolio.
- Account syncing: You can connect all your accounts whether it be bank accounts, investment accounts or retirement accounts. Users can view all this information in one place.
- Performance metrics: The portfolio tracker calculates and shows performance metrics including, percentage gain/loss, total returns, and for each investment.
- Benchmark comparison: Allows users to benchmark their performance against the market such as S&P 500 and MSCI World Index.
- Customisation: Users can modify their portfolio trackers according to their targets and goals.
- Alerts: You can set notifications to alert you if there have been any significant price changes or for reaching a set goal.
- Asset allocation: The tracker can show how assets are distributed among different investment types (real estate, stocks, bonds) so that users can assess the diversification and risk exposure of their portfolio.
- Tax reporting: Some trackers can monitor your tax ramifications, including capital gains and losses. This helps you calculate your tax liability and optimise your investment for tax efficiency.
- Visualisation: Portfolio tracker can show your data and information in visual charts and graphs that are easy to read. Users can easily visualise their portfolio’s performance and identify patterns and trends.
- Security features: Strong encryption and secure login methods such as, two factor authentication are essential to keep your financial data safe. Some portfolio trackers even have a privacy mode so others can’t see the financial information on your screen.
Conclusion
Portfolio trackers are a useful wealth management tool for easily managing your money and investments. Anyone, beginners or experts, can easily keep track of their investments thanks to their user friendly interfaces, creating a straightforward process.
Using a portfolio tracker is one of the best strategies to manage your assets and make sure you are making wise decisions at every stage. You will be more prepared to increase your wealth and handle your money wisely if you keep a close eye on the performance of your portfolio and match it with your goals.
Get started now and sign up to a great portfolio tracker like Strabo. Take control of your finances today!
