How many stocks and ETFs does the typical investor own? M1 data
As of May 31, 2026, the median M1 investor holds 13 positions in their portfolio, according to M1’s proprietary platform data.
This figure — M1’s Median Holdings Count — measures the median number of distinct positions held across active investor accounts.
What Are Portfolio Holdings?
Portfolio holdings are the distinct positions held in an investment portfolio. Each individual stock, ETF, or mutual fund counts as one holding, regardless of the dollar value held in each.
The number of holdings is one of several measures of portfolio composition. It captures one dimension of diversification — the breadth of distinct securities held — but does not account for position weighting, correlation between holdings, or asset class mix. A portfolio of 30 highly correlated technology stocks is more concentrated in practice than a portfolio of 10 holdings spanning unrelated industries.
ETFs are counted as single positions in M1’s calculation. Some investors may consider the underlying holdings within an ETF as part of their diversification — this metric does not look through to those underlying positions.
What is the Median Holdings Count?
The Median Holdings Count measures the middle value of the number of distinct holdings held across active investor accounts. Half of the cohort holds fewer positions; half hold more.
Formula: Median Holdings Count = Middle value of the distribution of distinct holdings per account across the cohort
M1 introduced this metric as part of the M1 investor data report, a report on aggregate, anonymized investor behavior across M1’s platform. The median is reported rather than the average because it provides a representative view of typical investor behavior — averages can be distorted by outliers with very large or very small numbers of holdings.
M1 Data: How Many Stocks and ETFs Investors Hold
M1’s Median Holdings Count as of May 31, 2026: 13 positions
The median M1 investor holds 13 distinct positions in their portfolio, drawn from aggregate, anonymized data across active M1 accounts. Cash-only accounts (investors holding no securities positions) are excluded so the metric measures holdings behavior rather than cash behavior.
| Source | Median Holdings Count | Notes |
| M1 portfolios (May 31, 2026) | 13 positions | Median number of distinct holdings. Active M1 accounts, excluding cash-only accounts. ETFs counted as single positions. Aggregate, anonymized. As of 2026-05-31. |
M1 publishes this figure as part of the M1 investor data report — a commitment to data transparency that lets investors see actual holdings behavior across M1’s platform, not just hypothetical models.
This is not a recommendation for any specific number of holdings. Individual approaches to portfolio composition vary based on financial goals, risk tolerance, time horizon, and investment philosophy. Investing involves risk, including possible loss of principal.
How Many Stocks and ETFs Do Investors Typically Own?
M1’s 13-position median reflects the middle of the distribution across active M1 accounts as of May 31, 2026. Some investors hold significantly fewer positions; others hold many more. The metric captures the typical investor — not a prescribed level.
A 13-position median means that for every investor holding fewer than 13 positions, another holds more. The full distribution spans concentrated portfolios of two or three holdings on one end and broadly diversified portfolios of fifty or more on the other.
This figure represents a snapshot of one point in time. Holdings counts shift based on individual buying and selling decisions, new account inflows, and changes in investor strategy. It does not represent a target or recommended level.
Why the Median Holdings Count Matters
The number of distinct holdings is one input into diversification, but not the complete picture. Industry guidance commonly suggests diversification benefits increase with the number of holdings, with diminishing returns above roughly 20-30 positions in single-stock portfolios — though this assumes uncorrelated holdings, a condition not always met in practice. Two portfolios with the same number of holdings can have very different risk profiles depending on what is held and how the positions are weighted.
Whether 13 holdings is “enough” or “too few” depends entirely on individual circumstances — investment goals, risk tolerance, conviction in specific positions, and whether the holdings include diversified instruments (such as ETFs) or single securities. No aggregate benchmark can answer that question for any individual investor.
Frequently Asked Questions on Portfolio Holdings and Diversification
There is no single answer — the appropriate number of holdings depends on financial goals, risk tolerance, time horizon, and investment philosophy. As a reference point, M1’s Median Holdings Count as of May 31, 2026 was 13 positions across active M1 accounts. This is not a recommendation for any specific number of holdings. Investing involves risk, including the possible loss of principal.
M1 reports the median rather than the average because the median is less affected by outliers and provides a more representative view of typical investor behavior. As of May 31, 2026, M1’s Median Holdings Count is 13 positions, based on aggregate, anonymized data from active M1 accounts. This reflects M1’s active investor base only and should not be interpreted as a universal benchmark.
There is no universally correct answer. Holding more positions can increase diversification benefits, but industry guidance suggests the marginal diversification benefit declines as the number of holdings grows — and a larger number of positions can also dilute conviction and make a portfolio more difficult to manage. Holding fewer positions may allow for more deliberate selection but concentrates exposure to the specific securities held. The appropriate level depends on the investor’s strategy, time available for portfolio management, and conviction in individual selections.
Investing involves risk, including the possible loss of principal. Past performance is not indicative of future results.
M1 calculates the Median Holdings Count as the middle value of distinct holdings per active investor account. Cash-only accounts (investors holding no securities positions) are excluded so the figure reflects only investors actively holding positions. The 13-position figure reflects data as of May 31, 2026. Data is aggregate and anonymized — it does not represent any individual account.
This content is for educational and informational purposes only and does not constitute personalized financial advice. All data reflects aggregate, anonymized M1 portfolio trends as of May 31, 2026 and does not represent any individual account. Investing involves risk, including the possible loss of principal. Past performance is not indicative of future results.
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