How To Guide For: Understanding What A Robo - Advisor Is & If It's Right For You

Robo-Advisors are financial advisors that provide financial advice or portfolio management online with minimal human intervention. Much of the focus has been on portfolio management. Currently most robo-advisors employ algorithms such as Modern Portfolio Theory that originally served the traditional advisory community, which has used algorithmically-based automated investment solutions to conduct portfolio management since at least 2005. Robo-advisors typically have the investor answer questions to determine the investors willingness for risk and then through the use of algorithms, spread your money into appropriate investments, making adjustments as your situation and the market change. Robo-Advisors collect less in fees than a professional investment advisor. Now more and more banks are starting to launch robo-advisor services. Having Robo-advisors means that you don't have to pay the high investment advisor fees. With Robo-advisors your fees would be much lower. Also Robo-Advisors rarely demand a minimum balance. Another advantage is the accessibility and automation of robo-advisors since they operate online. But is a Robo-Advisor a good option for you. Every investor is different and has a different investment portfolio and different financial needs. To get more information on what a Robo-Advisor is and if it is the right option for you click on the pictures below to read the articles.