Managing complex investment portfolios can be hectic most of the time, as a small mistake can lead to a huge loss. This is when investment management tools stepped in. It is a software that comprises different functions to maintain a business or an organization. This article will guide you through the features and usage of such investment accounting tools. I will also give you a list of the top 10 investment accounting software that I have used personally and found useful. Before that, let’s understand what these investment management tools do.
What are Investment Accounting Tools? Features and Purpose
It is a tool that helps you automate tasks such as tracking progress, checking valuation, controlling functions like profit and loss, and performance metrics of the business, as well as calculating metrics like IRR (Internal Rate of Return) & TWR (Time-Weighted Rate of Return). Its main job is to track cash flow. It also ensures the business is following the rules of GAAP in the US and IFRS for other parts of the world.
Use case of Investment Accounting Software
It helps in several ways:
- Reduces errors
- Increases efficiency
- Gives accurate and well-researched information about the data to the investors.
- Reduces the expense of manual labor.
Haven’t understood! No issue, keep reading to get all the information and know all the terms used in the process. In the next section, we will discuss the software for portfolio accounting.
Meaning of Portfolio Accounting Software
It deals with the real-time accounting system, which means it does transaction recording, measures performance management, maintains reporting, and compliance.
In short, portfolio management helps in recording the inventories and dividends. It involves overseeing, selecting, and making investments to achieve the goals and reducing the risks.
This is done by combining strategies, monitoring the final result, and using diverse ways of investments in the right place at the right time.
Use Case of Portfolio Accounting Software
It is highly used by people like asset managers, financial advisors, managers, and more.
- Asset managers and financial advisor uses for maintaining clients’ portfolios and balancing stock and funds.
- Businesses like startups or small firms use simple version tools, while bigger organization uses the tools to achieve smoother and error-free results.
Related: Top 10 Travel Management Software: Review in 2025
Investment Tracking Software
As you can understand from the term, investment tracking software, these tools are useful in maintaining and tracking your investments like stocks, bonds, cryptocurrency, and similar investment options. It collects data related to the investment from the brokers and gives a simpler and easier view of the gains and losses by each investment without the difficult calculations.
Benefits of Investment Tracking Software
- It saves time as everything is automated, with no need for manual entry.
- Automated tax reports by the year-end.
- Free starters like Value Research and InvestGlass offer a 100% free service.
Financial Accounting Software for Investments
A software that handles the bookkeeping part of the money you spend, like tracking the buying and selling of properties or stocks. It also includes the taxes that you paid for the purchase and everything related to money spending and gaining.
Daily Use Cases
- Record transactions
- Update the value of your assets
- Check the bank statements with your purchases and spending
- Manage taxes and audits
Let’s understand it with the help of an example of Jack:
Jack is the owner of a cafe named Cosy. He invests his extra cash in stock and rental properties in order to increase his business. He sold his stock worth $100,000.
Jack started using financial accounting software. Initially, his original cost was $80,000, which is the total of $60,000 as his initial investment and $20,000 for an extra share that he bought later. He gained $20,000 and paid $2,000 to the software company, which brings his profit to $18,000. He also gets $1,500 per month. After checking the dashboard, Jack saw the stock price dropping, and he immediately withdrew from the stock and invested in the rental properties. Without any headache, he invested in the right option with just one click.
Related: Top 10 Digital Marketing Agencies In The USA
Investment Data Management Solutions
These tools are the superorganizers of the investment world. They collect data from brokers, banks, and markets, and arrange it in an easy-to-use format. Its main role is to give faster reports and audits, reducing errors and manual labor.
Examples of Investment Data Management Solutions
- Altoo
- Dynamo
- Charles Rivers
- Game Changer
Hedge Fund Accounting Software
Hedge means buying long and selling short to maintain a balance and beat the market. It deals with high-risk stocks. High risk of betting on the drop of the short-selling stocks and protecting bets by borrowing cash from the market. Some of the software you can try are Allvue, FundCount, or Eze. The software handles profit division, daily value, stock bars check, and risk test.
Best Investment Accounting Software for Small Business
Perfect choice for all the small business owners who are searching for some affordable and useful software picks for their business. It comes with features like auto sync, tax calculation, and easy finance management. Some of these come with a fee of less than $30 monthly. All these software that are mentioned here come with free trials.
- QuickBooks (Intuit): It helps in the easy linking process (bank linking), saves time, and tracks investments simply without many hurdles. Starts with $19/monthly
- Xero: Costs around $6 with offers. Its key point is that it’s mobile-friendly, useful for different countries (supports many currencies).
- FreshBooks: Comes at a monthly cost of $9. Generate tax reports timely, give 5 client invoices, and track expenses accurately.
- Wave: Its starter pack is $9.50 per month. Unlimited expense tracking and receipts, and an automatic late payment reminder.
- Zoho Books: Starts with $15 monthly. Tracks sales tax, connects to the bank feed, API access, and enables transaction period locking.
Pick by trial, match your needs, and watch bookkeeping vanish.
Related: Top 10 Best React Native Development Companies
Top 10 Investment Accounting Software
1. Dynamo
Pricing varies; you can choose according to your needs. It is a cloud-based software for investment management.
2. Juniper Square, Inc.
It is a fund administrator software. It connects the new marketing technology to your business. And it also has enterprise packs where you can customize the plan according to your needs.
3. Sage Intacct
It is an AI-powered accounting software with more than 350 integrations. Its pricing starts from $9000 and goes up to $75,000. The pricing totally depends on which plan you select.
4. AppFolio Investment Management
Its main feature is the CRM practice. However, it also focuses on electronic payments, the K-1 distribution channel, transparent pricing with customizable quotes, and 24/7 availability of the investor dashboards. Its pricing is based on a quote, but it has plans like Core, Plus, and Max.
5. Certent, Inc.
Its main specialization is in equity management, and it has disclosure software for SEC reporting. It also deals with the ESG data and automatic closure of finance. Its price is based on customization and has enterprise plans that start at around $50,000 per year.
6. FactSet
It has a lower starting price than the above ones, $12,000 per user annually. Its main job is to deliver data from the market and research platforms for managing the portfolio.
7. Morningstar, Inc.
This software provides fund performance data, calculates retirement plans, and provides newsletters for general knowledge. It has multiple assets of data for advanced modeling. Its price varies according to your chosen subscription. Its starting price is around $199 per year.
8. Finastra
It provides financial services for payments, lending, retail banking, treasury management, and capital market details. Its main features include Fusion Phoenix for advanced banking and Kondor for trading. It has customized pricing, and you can fill out the form with your details and get a quote from the company.
9. Quicken
It is beneficial for small and personal finances with bill pay, investment tracking, tax optimization, mobile syncing, and other features to regulate your finances at ease. It has plans according to your needs, its starting plan is Quicken Simplifi, which starts at a minimum of $2.99.
10. Addepar
This software aggregates more than 1000 sources for a simple portfolio view. It has a performance charge, analyzes risk, and provides a client-ready report. It also includes scenario modeling, tax optimization, and API integration. And it has a contact us page from where you can ask for a quote and can also discuss the pricing, and get the best out of it.
How to Choose Investment Accounting Software?
Selecting the right investment accounting software requires knowledge about what you do and what you need. Here are some of the things that will help you select the best one for your organization.
- Choose the secure one, as you will be required to link your bank account.
- Match your Assets Mix (What you invest and where you invest)
- Check your budget: Smaller organizations invest in cheaper options according to the need, and vice versa for the larger organizations.
- Focus on features that will streamline your work, like profit and loss calculations.
Related: Top 10 Free & Paid AI SEO Tools