6 Persuasive Reasons Not to Track Your Investments with Financial Software

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In preparation for my post on my new favorite budgeting software, I was originally explaining why I no longer want a personal finance software that tracks my investments.

The explanation got longer and longer until I finally realized the material need its own post.

This post.

6 Reasons Not to Track Your Investments In Your Financial Software

  1. There is no value in watching your investments that closely.  Instead of letting it all add up, I prefer to spend a few minutes every couple of days taking care of my budget.  I find that I get discouraged when there is too much to do with the budget.  However, every time you sign into do your budget, you probably don’t want to know what your investments are doing.  I find that constant exposure puts investments at risk because you may think about trying to save the day by doing a savvy investing move (buying or selling) which will likely just end up making things worse.
  2. Your heart may fall prey to mirroring the market.  I have a tendency to have too close of a relationship with my money.  I’m a recovering money lover, and my spiritual life has never been blessed by knowing blow by blow what is happening with the market.  On up market days, it is easy to feel smart, confident, and hopeful.  On poor market days, you may feel discouraged, hopeless, and full of self-doubt.  In a year period, would you rather know the market is up 5% at the end of the year, or would you like to know that during that year there were 15 times when you’d lost more than 15% of your investment?
  3. Many investing websites provide sufficient performance history.  I do think it’s valuable to know what your investments are doing – monthly, quarter, or annually.  I do all my investing on my own (with the help of Sound Mind Investing), and it’s simple to log into online brokerage account and get all the information I need to make wise investing decisions.
  4. It is a waste of time.  In light of number three, the obvious reality is that tracking your investments in a piece of financial software is redundant.  Life is too short to spend keeping up with redundant chores.
  5. Less chance of errors.  Typically, when you download information online to your financial software, you verify the transactions.  I’ve found that sometimes when an investment firm has a classification that your software doesn’t have, you are forced to re-categorize things which may confuse you in the future.
  6. Makes tax season simple.  I use TurboTax for my taxes, and I just download my transactions from my investment brokerage.  It’s simple not to have any middle intervention of a personal finance software.

Obviously, there are reasons to track your investments in a personal finance software.  The most obvious is if you’re tracking investments from different brokerages you can have it all in one place by using software to amalgamate all the information.

Regardless, I’m personally done with tracking my investments using a piece of software. Instead, I want something that will just help me track my spending and keep a budget.

Do you track your investments using your financial software?  What are the advantages and disadvantages?


  1. says

    The only investments I have in the market are for my retirement accounts. And, since I’m not planning to retire next year, I don’t track them at all. I usually look at them once a year around tax time. No sense sweating out the ups and downs of the market by tracking the investments. Good advice. Set it and forget it.

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