Best Robo-Advisors for Advanced Investors
Robo-advisors have revolutionized the finance industry by offering automated, algorithm-driven financial planning services with little to no human supervision. They provide an efficient, low-cost alternative to traditional financial advisors, making investment more accessible to a broader audience.
However, not all robo-advisors are created equal. For advanced investors who have complex financial needs and demand more sophisticated investment strategies, certain robo-advisors stand out from the crowd. In this article, we will explore the best robo-advisors for advanced investors.
1. Betterment
Betterment is one of the pioneers in the robo-advisory field and it continues to be a leader, particularly for advanced investors.
Features
Betterment offers advanced portfolio strategies, including socially responsible investing and smart beta portfolios. Its tax-loss harvesting feature is incredibly valuable for advanced investors looking to minimize their tax liabilities. Furthermore, Betterment offers a premium plan that provides unlimited access to certified financial planners.
2. Wealthfront
Wealthfront is another top-notch robo-advisor that offers a suite of features designed to meet the needs of advanced investors.
Features
Wealthfront’s standout feature is its PassivePlus investing, which includes tax-loss harvesting, stock-level tax-loss harvesting, and risk parity. These features are designed to increase returns and lower tax liabilities. Wealthfront also offers a high-yield cash account and free financial planning.
3. Personal Capital
Personal Capital is the best choice for advanced investors with a high net worth, as it offers a mix of robo-advisory and human advisory services.
Features
Personal Capital offers a comprehensive wealth management platform that includes access to human advisors, a sophisticated retirement planning tool, and a portfolio review service. Its tax optimization strategies and customizable investment strategies make it an excellent choice for advanced investors.
4. M1 Finance
M1 Finance is a unique robo-advisor that combines the best of automated investing with a high level of customization, making it a great choice for advanced investors.
Features
M1 Finance allows investors to create their own portfolios, or “pies”, made up of stocks and ETFs. This level of customization is rare among robo-advisors and is a big draw for advanced investors. It also offers a range of pre-built portfolios and allows for automatic rebalancing and tax minimization.
5. Vanguard Personal Advisor Services
Vanguard Personal Advisor Services is perfect for advanced investors who want a blend of robo-advisory and human advisory services.
Features
Vanguard offers a personalized financial plan, portfolio management, and ongoing advice from a human advisor. Its asset allocation and rebalancing features are top-notch, and it offers a range of low-cost Vanguard funds.
Conclusion
While robo-advisors are often associated with beginner investors, they can also offer a wealth of benefits for advanced investors. The robo-advisors listed above offer sophisticated investment strategies, advanced tax optimization, and a high level of customization, making them ideal for advanced investors. However, as always, investors should conduct their own research and consider their individual needs before choosing a robo-advisor.
