Investors enjoy looking forward to future gains. The past can have little to do with predicting the future. However, it’s fun to play with some statistics to see how a portfolio would have fared in previous boom or bust cycles. A website aims to put a little perspective on portfolios. For investor, I find it interesting to see how a portfolio would have fared in a boom or bust cycle. Portfolios can also be compared against lazy portfolios to high fee investments. How do you think your portfolio compares?
Disclaimer: I have no financial or business relationship with Hello Money. I found them online, created an account and decided to share it on my website.
The website is called Hello Money. Their motto is “LEGO for investing” which is kind of a cheesy line, but the website is made to build your own portfolio. All that is needed to create a log in is an email address. Once logged in, you can either enter in equities owned or upload a CSV file. If you have the ability to download a CSV file from your investment company, Hello Money allows you to upload that file for easy use.
Once the file is uploaded, then you can see your blended expense ratio, past returns, and what risk level your investment are graded as. Above you can see I’ve done this with my current 401k account one year post graduation.
How My Account Would Have Performed In Recessions or Bull Markets
Any attending that has been practicing since 2009 has yet to experience a true bear market or a recession. For the past 8 years, new attendings have entered into a market where almost each year the trend has been upward. For those who have been investing since 2009, you can see how your portfolio would have fared in one of the more recent recessions.
High Fees Portfolios
Vanguard, Fidelity and many other financial institutions have cut fees for index funds. However, there are plenty of funds that are willing to charge you a premium. With Hello Money, you can see how a portfolio with the highest fees would have preformed. Spoiler: It doesn’t look good.
Seeing How Your Portfolio Compares to others
Another fun aspect of the website is the ability to compare your portfolio. Comparisons can be made against other users or against any group of equities you desire. Want to see how your returns compare to Warren Buffett, a Roboadvisor, or a target fund? No problem. You can mix and match any kind of inputs to see how your returns theoretically have done compared to others.
There is even the option to compare your returns vs others with various types of re-balancing.
The website is free and asks for only an email address. The creators of the site do not ask for any personal data, another positive in my book.
Overall, I like the website. Hello Money can be useful for beginning investors or more advanced users who like to compare numbers and “what if” scenarios. Personally, I spend a lot of time researching various investing strategies. However, I end up sticking to mainly index funds for my primary accounts. It was fun to compare my holdings to Warren Buffet or a group of stocks with higher fees.
Have you tried the website or found another website that has been fun to compare your investments to?