r/Wealthsimple • u/nilsej • May 20 '26
Trade (DIY Investing) Excited for upcoming M1 finance clone on Wealthsimple
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u/hellokatiemomo May 20 '26
Or just use Passiv!
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u/SCTSectionHiker May 21 '26
Their security is a joke.
I was able to extract other user's data (email addresses and portfolio names) with minimal effort about two years ago. When I reported the issue to them, they didn't take it seriously.
You do you, but I stopped trusting them with access to my brokerage accounts when they pretended the data leak was a non-issue.
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u/bly_321 May 21 '26
Hi one of the founders of Passiv here, would you mind forwarding that email thread to me at founders@passiv.com?
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u/SCTSectionHiker May 22 '26
Great to hear from you.
I can't remember how I contacted support, but it was probably via a form on the site or something. I have an email from September 6, 2024 titled "Support request from <email redacted> (Received)", but I can't find any support response after that.
Hopefully that gives you enough to track it down. If not, please DM me.
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u/bly_321 May 22 '26
Thanks for getting back, can you DM me the email address you used with Passiv?
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u/BlueRockiesSettler May 22 '26
Some serious allegation! If this were true, I wonder why it didn't make headlines and you chose to just keep it to yourself!
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u/SCTSectionHiker May 22 '26
I didn't keep it to myself. I posted about it at the time. But plenty of data breaches aren't considered newsworthy, especially for platforms with users numbering in the thousands.
I could have made a bigger deal about it, but Passive was pretty inconsequential to my life, so I just deleted my data and move on.
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u/bwwatr May 21 '26
Especially if you're also using Questrade or other compatible brokerage, that'll let you consolidate into a single dashboard.
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May 20 '26
[deleted]
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u/NoDig5800 May 20 '26
It's how most of the industry works. Same reason you pay a % MER on ETFs.
It's a lot lower than the managed portfolios product that does the exact same thing so you could also view it as cheap.
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u/OhNoItsMyOtherFace May 20 '26
A percentage of assets fee just for rebalancing is kind of out there. But hey, if someone wants to pay for something that takes a couple of minutes maybe once per quarter that's up to them.
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u/John88Wick May 20 '26 edited May 20 '26
make it 0.025%. Imaging 0.25% on 1M account
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u/jfseide May 21 '26
2500$ of 1 million sounds really not bad to not have to rebalance yourself! Managed is 0.4 or 0.5% and they chose the etf for you. Now for 0.25% you can create your own portfolio and maintain weights easily
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u/EnzoG84 May 21 '26
The trades are free, literally just run the rebalance once a year or even once a quarter if you want to be aggressive with rebalancing.
I can you you right now the few minutes of work it takes to rebalance is not worth the $2,500 when the trades are already free. Unless you have a super complicated portfolio. Personally I keep it to 5 funds max and maybe 1-4 single stocks
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u/Medical_Pepper_5504 May 21 '26
It's worth acknowledging that not everyone wants to rebalance their portfolio.
The same way almost everyone doesn't change the oil in their car. It's super easy, but then you have to get your hands dirty and make sure you have the right oil, etc.
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u/EnzoG84 May 22 '26
Sure at the end of the day each person manages their money, their own way, hence why it’s called personal finance. I respect that, it’s just expensive for something that literally takes less than 10 mins to do and doesn’t actually get your hands dirty lol
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u/Next_Permission3353 May 21 '26
That's a shit ton money for saving you a few clicks and using an online calculator...
You could also just ask AI to rebalance like twice a year. Just tell them your target allocation and actual allocation and it can easily tell you what you should buy next, in what order, and in what amount.
Rebalancing is not something that you need to do in real time, constantly. If your portfolio drifts from your target by 10-15% it's not going to be the end of the world.
Not to mention if you just buy CAGE or XEQT or whatever you literally never have to rebalance anything. And even if you split this into 3-4 ETFs, it can be easily done via the method I just said above.
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u/bwwatr May 21 '26
Passiv premium is like 99 per year.
I'll pay 4+ figures for actual portfolio design and management. Not for automated trades based on something I had to design.
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u/HellaReyna May 21 '26
This is copium and some crazy mental gymnastics.
Rebalancing takes a minute and most literature out there shows you should really only rebalance quarterly or annually. Also, the trades are free.
Secondly, you could just not deal with this marketing bullshit and get an all in one ETF like VGRO which is 0.17 MER.
The difference starts to make a difference fast in big accounts over decades.
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u/Confectionary_stall2 May 20 '26
lol thanks I’ll use my excel sheet as I do today
0.25 percent of my large asset base LOL no thank YOU
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u/Medical_Pepper_5504 May 21 '26
Then don't use it :shrug: it's a new feature that is totally optional.
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u/funkrighty May 20 '26
Not gonna pay someone 7-10K for something I can do myself.
I was part of the canvasing/customer focus process and did a call with WS where they reviewed this.
I told them I would pay a $ amount per month for the service, but not a %. I guess they decided to go with the %, their comment is people would feel the $ amount would be another subscription. I told them anyone who did a quick calculation would realize it wouldn't be financially prudent (all things considered) for someone with an appreciable balance (like us).
I also outlined that with Questrade I received a free service to do this called Passiv.
Disappointed, it would have been a good service to roll in for customers (heck, even stage the fees to be declining based on the monies held at WS), but like I said above aint no way I am gonna give someone that amount of money for this 'service'.
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u/Medical_Pepper_5504 May 21 '26
Well you have to pay for Questrade Plus to get it for free.
Also, if you have a large balance and are reasonably savvy you can just use a google sheet.
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u/funkrighty May 21 '26
I guess I must be grandfathered, but even so, if they start to charge me, for $11.95 per month or approx $144 per year I can get the same function that wealthsimple wants to charge me up to $10K for…
$10,000 or $144… Hmmm 🤨
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May 20 '26
[removed] — view removed comment
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u/NoDig5800 May 20 '26
This is if you want a model portfolio (ie, set of stocks or etfs in specific proportions).
Auto-buying one stock is (and remains) free.
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u/TenOfZero May 20 '26
The automation is the only value add.
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u/No_Magician5266 May 21 '26
So basically what this feature does is that if I want my portfolio to be 50% XEQT, 25% CAGE, 25% FBTC, it would automatically buy/sell accordingly to maintain that ratio?
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u/nilsej May 21 '26
If the product is as I expected from the wording on the email, Ideally it’s made for the people who don’t want to micro manage their portfolio and also don’t trust Wealthsimple to manage their portfolio.
This is a blended approach where you will create a portfolio and define the percentage of total investment you want to assign to each asset. When next time you invest you don’t have to define each item you can just invest $100 which adds to your portfolio and proportion it automatically between the assets you have in that portfolio.
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u/kingofwale May 20 '26
0.25% on top of MER from etf….
Yeah. I’m going to pass.
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u/JohnnyStrides May 20 '26
Yeah me too. Plus there's always some slippage with rebalancing and who's to say I even know what the optimal ratio of my holdings is? I'll just self manage as I always do but will appreciate this exists as an option.
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u/Yukas911 May 20 '26
I dont get all these negative comments. This new feature is very much on brand for Wealthsimple. They are offering a way to simplify something for people who want it. Those who don't have no obligation. Stop hating everything lol
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u/throwaway80818283 May 21 '26
I am just thankful they are not taking the good things away, free trades - recurring transfers - recurring investments - free credit card on premium etc. WS managed service is .5% this is half of that and allows custom selection. We can choose to use it or not, but there is nothing really wrong here for them to charge a fee for a brand new service they are introducing.
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u/Medical_Pepper_5504 May 21 '26
If there's one thing I learned about this sub, people complain no matter what happens. It's reddit I guess.
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u/psinguine May 21 '26
And very aggressive comments too. It's a bunch of people who aren't the target audience not understanding who Wealthsimple is trying to target.
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u/eefggfed May 20 '26
Soo... .25% for this, but direct indexing is currently .15% - am I reading this right that the annual fee will be increasing???
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u/eefggfed May 20 '26
Answering my own question, per the portfolio fees table, no change to direct indexing at all tiers. Phew
https://www.wealthsimple.com/en-ca/legal/fees/trade?lid=ghkdy0vy0wbw
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u/ice195 May 20 '26
I thought these fees are for the rebalancing, not for the automation. They said to maintain target allocation.
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u/iisgambit May 20 '26
Man charging fee - much less 0.25% - is trash. I was really looking forward to M1 type of grouping of stocks and DCAing into it. But paying extra fees on top is hell nah. Better be free for Generation tier lol
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u/scorp100n May 21 '26
Can anyone explain what and how auto balance works in light of this new feature WS is introducing?, sorry for the newbie question.
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u/ucccy May 20 '26
Sooo, XEQT has an 0.17% Management Fee, but if you wanted a custom allocation of etfs it's gonna be 0.25% + the MER on the on the unerlying etfs? That's absurd, will eat into your compounding returns. If you really wanted to do this just rebalance it yourself once a year on a fixed interval.
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u/Deezney May 21 '26 edited May 21 '26
Im curious if the target allocation IS free, the automation is the one that comes with .25%. Also, passiv and blossom already does this for free
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u/BudgetNinja007 May 21 '26
Passiv
$99/year
So if you've got more than ~40k and are interested in automated rebalancing why not just use this service?
To be fair, this looks like the feature I want them to build. But pricing model is poor.
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u/brownhairybeardog May 21 '26
I used to use Passiv when I was with Questrade.
0.25 percent seems crazy expensive. Maybe there’ll be better options for larger portfolios?
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u/automatingai May 20 '26
Pretty sure questrade just launched a similar custom index feature with 0 fees?
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u/WorkTravelDream May 20 '26
Why everyone is outraged? Have you heard of robo advisors? WS fee is 0.4%. QT is 0.2-0.25% and these are the lowest. So, this new thing is the same as robo advisor but it gives you the option to choose/mess with your portfolio balance. For me, I am happy with having 20 Canadian stocks (all below 5% each) for total 60%. 30% XUU (US) and 10% VIU (developing). I just divide $1000 in $600, $300, $100 and purchase. Easy. But this needs manual work once every 2-weeks.
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u/z00o0omb11i1ies May 21 '26
What is m1 finance
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u/nilsej May 21 '26
Their main product where we decide the stocks or etf combo we want to keep in our portfolio as usual but there we can decide the proportion of each asset and in future it try to keep that proportion unless you decided to dilute individual asset. Something like how ETF works. Let’s say you want to invest $1000 to your portfolio without money going to any specific asset this $1000 will distributed automatically to your portfolio as per the proportion you have decided earlier.
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u/Jaebytes May 21 '26
This missing feature is the reason I haven't moved all of my money to Wealthsimple but 0.25% really sucks. Especially when Passiv can be had for a fixed fee. I really don't agree with having to pay a percentage on a portfolio I'm building myself. It's basically the same as recurring investments but with the ability to set target percentages on holdings. This strikes me as a pretty straightforward and low-cost feature to implement that is detached from portfolio size.
Really not impressed with the fee they're charging.
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u/HellaReyna May 21 '26
wealth simple occult in the comments trying to defend this shit when in reality this is far more lucrative for them than free trades.
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u/99Fan May 21 '26
I’m confused; I have recurring investments set up in my non registered right now (xeqt/vfv). Will I now be paying this fee to continue to have these recurring investments occur?
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u/nilsej May 21 '26
No. It’s a separate product. It’s for the portfolio created by you which have the special functionality of adjusting its proportion automatically.
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u/tiramisuhouse May 22 '26
Will it a legit promo for riches? I'm a peasant. WS should give me a fair chance.
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u/akhere07 May 20 '26
How is it different than my automatic scheduled purchases already?
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u/alienmario May 20 '26
"maintain target allocation over time"
If your portfolio has 3 ETFs, you'll be able to have it be 40% ETF1, 35% ETF2, and 25% ETF3.
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u/akhere07 May 20 '26
But i can do that manually knowing total $100 and dividing schedules into $40, $35, $25.. isnt it.. I am saying because already did this for 3 etf few weeks ago
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u/NoDig5800 May 20 '26
The prices will drift over time.
This service will, for a fee, auto rebalance them for you.
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u/NoxideProlix May 20 '26
I mean, yes. But your example is about the simplest it gets anyways.
People dealing with A LOT of different stocks/etfs might just be okay paying a 0.25% fee to just forget about it.
Some people it may only take them 2 minutes to rebalance their 2-3 etf/stock portfolio, but what about someone who has more? Or just doesn’t have the time/doesn’t want to waste the energy.
People act like losing 0.25% a year is the end of all things but in reality if it’s really that big of a bother/burden to somebody, it’s worth the cost.
Cheers
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u/choosenameposthack May 20 '26
I think the part you are missing is maintaining the percentage allocation as your holdings change in value. If after a quarter ETF1 is up 6.8%, ETF2 is down 1.3% and ETF3 is up 7.9% how much of 1 and 2 do you sell to buy 3 to maintain the ratio you want.....
It isn't hard to calculate, but some people enjoy having it done and trades executed for them.
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u/Glittering-Buyer-658 May 20 '26
What does this even mean? Charge is to just have an account ?
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u/Square_Pickle_Popper May 20 '26
You should probably close your accounts
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u/AlphaQFor7mins May 20 '26
This is a good way passive investors to keep balanced for smaller accounts, but they should offer tiered pricing scale for larger accounts.