In addition to auto-investing, M1 users have the flexibility to make individual buy and sell orders on any slice in their portfolio.
When a buy order is placed, M1 will purchase the specified dollar amount of the selected slice.
To place a buy order, you must have available cash in your account. M1 will not withdraw money from your bank account to complete a trade.
Available cash includes:
- Sell orders
- Incoming deposits
If the available cash for a user is less than their buy orders, M1 will prorate the requested buys.
Example: Jenny places a $100 buy order for Stock A. Jenny (if she has the funds available) will purchase $100 of Stock A during the next trade window.
When a sell order is placed, M1 will sell the specified dollar amount of the selected slice.
Money from a sell order can be:
- Used to place a buy order
- Held as cash
- Re-invested in your portfolio
This depends on your Cash Balance Control settings.
Example: Jenny places a $100 sell order for Stock B. Jenny (if the slice has enough value) will sell $100 of Stock B during the next trade window.
Can I rebalance my portfolio and make buy/sell orders at the same time?
No, users can’t make individual buy/sell orders and rebalance requests during the same trade window.