Best Robo-Advisors for Advanced Investors
The world of investing is continually evolving, and one of the most significant developments in recent years has been the rise of robo-advisors. These automated investment platforms use algorithms to manage and optimize your investments, offering a hands-off solution for those who don’t have the time or expertise to manage their portfolios.
While robo-advisors are often associated with beginner investors, many platforms cater to more advanced investors, offering a higher degree of customization and sophisticated investment strategies. In this article, we will explore some of the best robo-advisors for advanced investors.
1. Betterment
Betterment is one of the most popular robo-advisors, and it’s not hard to see why. The platform offers a range of features that appeal to advanced investors.
Customizable Portfolios
Betterment allows you to adjust the weightings of different asset classes in your portfolio, giving you more control over your investment strategy. You can also invest in a socially responsible portfolio, which is a great option for investors who want to align their investments with their values.
Tax-Efficient Investing
Betterment uses tax-efficient investing strategies, such as tax-loss harvesting and asset location, to help you minimize your tax liability. This can significantly boost your after-tax returns over the long term.
2. Wealthfront
Wealthfront is another robo-advisor that is well-suited to advanced investors. The platform offers a high degree of automation, along with a range of features that can help you maximize your returns.
PassivePlus® Investment Strategies
Wealthfront’s PassivePlus® investment strategies include tax-loss harvesting, risk parity, and smart beta. These strategies are designed to increase your returns and reduce your risk, making them a great option for advanced investors.
Portfolio Line of Credit
Wealthfront offers a portfolio line of credit, which allows you to borrow against your investments at a low interest rate. This can be a useful tool for advanced investors who need liquidity but don’t want to sell their investments.
3. Personal Capital
Personal Capital is a robo-advisor that combines automated investing with access to human financial advisors. This makes it a great choice for advanced investors who want the convenience of a robo-advisor, but also want the ability to get personalized advice.
Investment Checkup Tool
Personal Capital’s Investment Checkup tool provides a detailed analysis of your portfolio, including your risk and return, asset allocation, and projected retirement income. This can be a valuable tool for advanced investors who want to fine-tune their investment strategy.
Access to Human Advisors
Personal Capital gives you access to human financial advisors, who can provide personalized advice and answer any questions you have. This is a great feature for advanced investors who want a more hands-on approach to investing.
Conclusion
Robo-advisors are not just for beginners. Many platforms offer sophisticated investment strategies and features that can help advanced investors optimize their portfolios. Betterment, Wealthfront, and Personal Capital are three of the best robo-advisors for advanced investors, offering a combination of automation, customization, and access to human advice.
