How Investment Portfolio Trackers Can Help You Earn More Money
It’s no surprise we recommend installing and mastering an investment portfolio tracking software system.
How does tracking help you earn more money?
As your investments develop and become more diversified, keeping an eye on everything becomes more difficult. Sure, you could outsource the job to professionals but that just chips away at your gains.
In this article, we’ll take a look at some of the ways that investment tracking software will help you stay organized, save time, and ultimately help you earn more money.
Benefits of Portfolio Tracking
Different portfolio trackers have different benefits, but here are some features that any quality investment tracking software should include:
1. In-Depth Data Analytics
We live in the age of big data with access to more data points than we could’ve ever imagined even 20 years ago. But what good is a pile of data if we have no way to analyze it and find useful conclusions?
The solution is data analytics, which is the systematic computational analysis of information to discover meaningful patterns. Ok, but what does that mean? It means portfolio tracking software can ingest large amounts of data – usually automatically – and analyze it quickly.
It can find patterns and key performance indicators (KPIs) that we could never spot with our eyes alone. In the past, this task would’ve required an army of analysts. Now, you can do it with a few clicks of a mouse.
How it Helps You Make More Money
Data analytics can help you make more money by giving you valuable insights to reduce risk and make better investment decisions. You can use this information to rebalance your portfolio to optimize performance and increase gains.
While many analysts focus on the market as a whole, a portfolio tracker can give you insights into your specific portfolio. It can highlight strengths and weaknesses that might not be obvious at a glance.
2. Instant Forecast & Prediction Algorithms
In the simplest terms, algorithms are a set of mathematical rules that help us process information to solve a specific problem. Unlike data analytics which find patterns in what has already happened, these models try to look into the future and help us estimate what might happen next in the market.
Some simple examples might include a trend line prediction based on historical data or the future performance of a theoretical portfolio. In both cases, the software uses a database of information to give us an informed estimate about the future. These are the same algorithms the pros use to make millions.
You could calculate this stuff by hand or assemble your own excel spreadsheet, but who has the time? Plus, manual data entry always increases the risk of human error. Your tracking software ingests data automatically to eliminate this problem.
How They Help You Make More Money
Can algorithms really see the future? Of course not. But forecasts can be a valuable part of our investment decision-making process.
Most investment tracking software systems have algorithms built in, so you can quickly and easily visualize forecasts and predictions. Use this information to make better trading decisions – and to make more money.
3. Centralized Performance Monitoring
Portfolio tracking systems provide a centralized approach that takes all your investment data and puts it in one place. They help you with effective performance monitoring, visualization, and analysis – all in real-time.
Again, you could do this manually using spreadsheets or even on paper, but this is vulnerable to some key weaknesses. First, human error is inevitable when inputting data by hand. Second, a centralized system that ingests and tracks data automatically is more organized and saves you time.
Of course, long-term investors don’t need to constantly check the pulse of the market, but it’s still important to maintain portfolio awareness – especially when you’re planning to cut losses or rebalance your portfolio.
How It Helps You Make More Money
The real benefit here is giving you a big-picture overview of your entire portfolio. That helps you make decisions that would be impossible if you were trying to put together this information in your head.
Seeing everything that’s going on, all together in the same place, can give you key insights that can affect your overall investment strategy and put more cash in your pocket.
4. Powerful Automation
Life would be easier for everyone if we had a dedicated money manager monitoring all our investments. They could input data, track dividend payments, generate reports, pay taxes, and do every other mundane financial task we would rather avoid.
When employing a pro account manager isn’t an option, portfolio tracking software is the next best thing. It will gather, analyze, and sort the information for you. Many programs even generate reports for financial analysis, or even for tax purposes.
No need to spend days tallying this information by hand or digging through old emails for statements. Just a few clicks and you can gather everything the IRS needs this year.
How It Helps You Make More Money
As we mentioned, most good tracking systems can ingest, sort, track, and analyze data automatically, which saves you countless hours – and improves accuracy.
More efficiency, less time spent, and increased accuracy mean more money in your pocket – and less chance you’ll be staring down the barrel of an IRS audit any time soon.
Start Tracking, Start Earning More Money
Now you should have a better idea about how portfolio tracking software can help you save time and make more money. With data analytics, forecasts, real-time centralized performance monitoring, and automated tasks, you can simplify your portfolio management and make better investment decisions.
Whether you’re a seasoned investor or just starting out, investment portfolio tracking software is a must-have tool for anyone who wants to grow their wealth.
Automated Portfolio Tracking with StockMarketEye
If you’re ready to start tracking and making smarter investments, go ahead and download Stock Market Eye for free today.
Get our exclusive 30-day trial, letting you see how our software can make your portfolio management and investments easier, faster, and more profitable.