I really like the insights tab on the app as it gives a nice overview of my portfolio.
I noticed though that when I select “Sector”, I don’t really get a true reflection of my sector breakdown because ETFs are lumped in a separate category. As an example, I’ve invested in a Tech specific ETF to get exposure to some of the big name stocks I can’t afford (although I realise this is a bit moot now with fractionals), however my “Tech” sector split looks very low at < 3 % based on my individual stock choices when it’s probably closer to 10 - 15 % with my ETF added.
There’s a couple of potential solutions I can see:
- Assign sector specific ETFs a sector tag for categorisation, or
- Allow users to manually assign sector tags
The latter would be nice as gives some degree of personalisation and would also allow users to select an alternative primary tag for categorisation when an asset fits into multiple categories. I think a fixed selection of sector tags would keep the simplicity of the system.
Realise this won’t be high priority but would be great to see an improvement if it was a quick & easy win.
Thanks Freetrade! Keep up the good work
Given the number of ETFs on the platform I feel like they could pull out the sector breakdown from the fund info and then accurately represent your whole portfolio.
It would be an unreasonably large task to do for the whole market (unless the data is conveniently available) but feels quite doable on these scales.
For example weight SP500 out as 30% tech, 20% financials etc…
I’ve found a tool which does basically what I’m asking for. It would be great for FT to replicate this and combine it with breakdown for single stocks, I think they could probably use this API to source the information.
Here’s an example using a few ETFs from my portfolio (with random weightings)
Edit: The underlying ETF data APIs seems to be relatively inexpensive and scalable (they are running k8s) - Freetrade may be able to pretty much use this as is.
Bumping this because I think what @Cameron posted is a really great idea and would be a great addition to the app. Breaking down the sectors in ETF’s and trusts would give us a much more accurate look at the balance of sectors in our portfolios.
Bumping again because I would think it would be great for FT to work on this as it gives much better insights for our portfolio’s. I have done exactly what Cameron was saying for my excel spreadsheet of my portfolio and it gives a much more insightful look at how I am diversified across sectors given my ETF’s and Trusts cover many different industries with different weightings.
This is what my Excel Spreadsheet gave me in my pie chart after accounting for distributions in ETF’s and Trusts
While my FT Insights pie chart just says 50% is in ETF’s/Trusts which does not help me at all as my ETF’s and Trusts target different industries. The information on sector distribution is readily available for all ETF’s and Trusts so I feel like it would be an easy and really useful addition to the app and FT could do it much more accurately than my Excel spreadsheet does.