5 Best Robo-Advisors Of January 2024 (2024)

The Best Robo-Advisors of January 2024

Best Robo-Advisor For Everyday Investors

Betterment

4.8

5 Best Robo-Advisors Of January 2024 (2)

Our ratings are calculated based on fees, rates, rewards and other category-specific attributes. All ratings are determined solely by our editorial team.

Annual advisory fee

0.25%

Account minimum

$0 minimum ($10 to start investing)

Learn More

Read Our Full Review

0.25%

$0 minimum ($10 to start investing)

Why We Picked It

Betterment, a Forbes Advisor partner, is one of the pioneers of the robo-advisor approach to investing. After more than a decade in the business, we believe that no other platform offers as much value to its customers as Betterment.

Betterment scored highly across all categories. The basic Betterment Digital service tier charges a competitive annual fee equal to 0.25% of your balance, and there’s no minimum balance requirement. Savers with higher balances looking for more advanced services can take advantage of Betterment Premium, which comes with access to live financial advisors.

Create an account, pick your goals and enter a few personal details, and Betterment places you in a risk-appropriate portfolio of exchange-traded funds (ETFs). We would note that your portfolio will include around a dozen ETFs, some of which may charge high fees. This isn’t an optimal approach, in our opinion, as you can get all the diversification you need with just three or four ultra-low-cost ETFs.

One note for those who pick the emergency fund option: You may end up in a portfolio (made up of 15% stocks/85% bonds) that’s a bit too risky for your blood. Should you need the money after a layoff following an economic downturn, chances are you’ll be selling low.

Betterment offers alternative portfolios to choose from, too, including one focused on environmental, social and governance (ESG) factors. The platform provides automatic tax-loss harvestingas well as a tax-coordinated portfolio option that structures your stock and bond allocation to optimize your tax treatment.

In addition to a standard taxable account option, long-term savers should check out Betterment’s retirement accounts, including a traditional individual retirement account (IRA) choice, a Roth IRA and a SEP IRA option for small business owners.

Once you have $100,000 in your account, you’ll qualify for the Betterment Premium tier of service, which comes with unlimited consultations with Betterment financial planning professionals and a higher annual fee of 0.40%. If you prefer the lower 0.25% fee, you can opt to remain on the Betterment Digital service tier with balances over $100,000.

Pros & Cons

  • Competitive annual advisory fee
  • Ability to choose different portfolios for different goals
  • Tax management features, including tax-loss harvesting
  • Relatively high fee to access professional advice
  • Emergency fund portfolio could hold too many stocks

Best Robo-Advisor for Low Fees

SoFi Automated Investing

5 Best Robo-Advisors Of January 2024 (5)

4.7

5 Best Robo-Advisors Of January 2024 (6)

Our ratings take into account a product's cost, features, ease of use, customer service and other category-specific attributes. All ratings are determined solely by our editorial team.

Annual advisory fee

None

Account minimum

$1

5 Best Robo-Advisors Of January 2024 (7)

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On Sofi's Website

None

$1

Why We Picked It

If you’re primarily focused on limiting the fees you pay while still enjoying a basic robo-advisor service, SoFi Automated Investingis a great choice.

SoFi Automated Investing charges about the lowest fees in our survey for robo-advisor services. There’s no annual advisory fee, your portfolio is stocked with ETFs that generally charge low expense ratios and you get access to real-life professionals should you need to talk over your financial situation. With an account minimum of just $1, there’s nothing holding you back.

The rest of SoFi Automated Investing runs pretty much as you might expect from a robo-advisor. You enter your personal information and financial goals, and the platform builds a diversified portfolio of around 10 ETFs—as we noted above, that’s probably about twice as many as needed—that correlate to your financial goals and risk tolerance.

SoFi Automated Investing has one potential downside you should be aware of: the type of ETFs it puts in your portfolio. The platform includes many of SoFi’s own in-house ETFs, much like Vanguard only uses its own funds. But unlike Vanguard, SoFi’s funds are very small in terms of total assets, relatively young and untested, and in a few cases overpriced in terms of expense ratios. This may make them riskier propositions for long-term investors.

Pros & Cons

  • No annual advisory fee
  • Access to financial advisors at no additional cost
  • You only need $1 to get started
  • SoFi has a very limited track record as an investment firm
  • Your portfolio may include higher-cost SoFi ETFs
  • No tax-loss harvesting

Best Robo-Advisor for Beginners

Vanguard Digital Advisor

5 Best Robo-Advisors Of January 2024 (9)

4.6

5 Best Robo-Advisors Of January 2024 (10)

Our ratings take into account a product's cost, features, ease of use, customer service and other category-specific attributes. All ratings are determined solely by our editorial team.

Annual advisory fee

No more than 0.20%

Account minimum

$3,000

5 Best Robo-Advisors Of January 2024 (11)

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On Vanguard's Website
Paid non-client promotion. Ratings as of 5/01/23 for services offered in 2023*.

No more than 0.20%

$3,000

Why We Picked It

If you’re just starting out in your career or you’re looking for a simple tool without a ton of bells and whistles, you should consider Vanguard Digital Advisor.

Vanguard founder Jack Bogle ushered in the index fund revolution when he established this Valley Forge, Penn.-based mutual fund company almost 50 years ago. By eschewing fancy stock pickers in favor of low-cost diversified funds that tracked broad indexes, like the , Bogle built an empire on being the market rather than beating the market.

You can now enjoy Vanguard Digital Advisor’s basic services, such as retirement savings and automatic rebalancing, for a low annual net advisory fee of no more than 0.20% of your managed account balance. That’s better than what you’ll find from most robo-advisors.

Aside from low fees, your portfolio is stocked with ultra-inexpensive Vanguard ETFs, which typically charge among the lowest expense ratios on the market. Vanguard Digital Advisor typically includes just four ETFs in your portfolio, which provides the diversification many people need.

During the enrollment process, Vanguard Digital Advisor asks you a series of standard questions—marital status, income, spending—and assesses how much investing risk you’re comfortable with. This risk assessment employs gain/loss scenarios and a slider bar and is much more intuitive than most we evaluated. Enter saving and spending goals, and the platform provides a robust estimate of how much you may be able to spend once you’re retired and tells you if you’re on track to fund your needs.

Vanguard Digital Advisor’s major downside is the $3,000 minimum balance requirement. If that’s a stretch for your budget, you might not have enough savings to take on the risk of a diversified investment portfolio and should instead focus on building up a robust emergency fund first.

Pros & Cons

  • Ultra-low-cost fees
  • Excellent retirement planning tools
  • A simplified investing approach
  • Need $3,000 to get started
  • No access to financial advisors

*Disclosures

Forbes Advisor receives compensation when a reader provides certain personal information to Vanguard after clicking Learn More.

All investing is subject to risk, including the possible loss of the money you invest.For more information about Vanguard funds and ETFs, visit vanguard.com to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information about a fund are contained in the prospectus; read and consider it carefully before investing.

Vanguard Digital Advisor® services are provided by Vanguard Advisers, Inc. (“VAI”), a federally registered investment advisor. VAI is a subsidiary of VGI and an affiliate of VMC. Neither VAI nor its affiliates guarantee profits or protection from losses.

Vanguard Digital Advisor is an all-digital service that targets an annual net advisory fee of 0.15% across your enrolled accounts, although your actual fee will vary depending on the specific holdings in each enrolled account. To reach this target, Vanguard Digital Advisor starts with a 0.20% annual gross advisory fee to manage Vanguard Brokerage Accounts. However, we’ll credit you for the revenues that The Vanguard Group, Inc. (“VGI”), or its affiliates receive from the securities in your managed portfolio by Digital Advisor (i.e., at least that portion of the expense ratios of the Vanguard funds held in your portfolio that VGI or its affiliates receive). Your net advisory fee can also vary by enrolled account type. The combined annual cost of Vanguard Digital Advisor’s annual net advisory fee plus the expense ratios charged by the Vanguard funds in your managed portfolio will be 0.20% for Vanguard Brokerage Accounts. For more information, please review Form CRS and the Vanguard Digital Advisor brochure.

Vanguard Marketing Corporation, Distributor of the Vanguard Funds.

Best Robo-Advisor for High Balances

Vanguard Personal Advisor Services

5 Best Robo-Advisors Of January 2024 (13)

4.6

5 Best Robo-Advisors Of January 2024 (14)

Our ratings take into account a product's cost, features, ease of use, customer service and other category-specific attributes. All ratings are determined solely by our editorial team.

Annual advisory fee

0.30%

Account minimum

$50,000

5 Best Robo-Advisors Of January 2024 (15)

Learn More 5 Best Robo-Advisors Of January 2024 (16)

On Vanguard's Website
Paid non-client promotion. Ratings as of 5/01/23 for services offered in 2023*.

0.30%

$50,000

Why We Picked It

If you need a robo-advisor to manage a relatively sizable chunk of cash and receive access to human financial advisors, look no further than Vanguard Personal Advisor Services. This platform’s minimum balance threshold of $50,000 is half the amount required for Empower or Betterment Premium, yet it charges lower fees (0.30% versus 0.89% and 0.40%, respectively).

Vanguard Personal Advisor Services offers access to real-life Vanguard professionals, many of whom are certified financial planners (CFPs) and all of whom are fiduciaries, whenever you need help with your financial needs or answers to questions. That means you’ll have access to a wide range of services, including estate planning and charitable giving, that become more important with the more assets you’ve accumulated.

Like with Vanguard Digital Advisor, your portfolio will be made up of low-cost Vanguard funds that track broad indexes and mirror your risk tolerance.

Pros & Cons

  • Competitive account minimum for a premium service
  • Low advisory fee, access to ultra-inexpensive ETFs
  • Easy access to professional financial advice
  • Relatively high minimum balance of $50,000

*Disclosure

Forbes Advisor receives compensation when a reader provides certain personal information to Vanguard after clicking Learn More.

Best Robo-Advisor for DIY Financial Planning

Wealthfront

5 Best Robo-Advisors Of January 2024 (17)

4.4

5 Best Robo-Advisors Of January 2024 (18)

Our ratings take into account a product's cost, features, ease of use, customer service and other category-specific attributes. All ratings are determined solely by our editorial team.

Annual advisory fee

0.25%

Account minimum

$500

5 Best Robo-Advisors Of January 2024 (19)

Learn More 5 Best Robo-Advisors Of January 2024 (20)

On WealthFront's Website

0.25%

$500

Why We Picked It

Wealthfront¹offers a sophisticated saving and investing platform with relatively low fees and powerful financial planning tools.

With a $500 account minimum, it’s relatively easy to get started with Wealthfront. Once you do, you’ll swiftly be placed into a diversified portfolio of ETFs, ranging several asset classes from large-capcompanies to municipal bonds. The number of funds in your portfolio can be upwards of 15, which in our opinion is excessive when you can get similar diversification with about a third of that number.

Financial planning features are where Wealthfront really shines. Once you tell the platform your risk tolerance and goals, and then link your outside financial accounts, Wealthfront offers two tools to help you easily manage your financial life: Path and Autopilot.

Path creates a birds-eye view of your current financial situation, based on your income and expenses, and then helps you meet your savings goals. Notably, you can even use Path to see the impact different choices, like taking time off to travel, might have on your ability to reach long-term goals like retirement.

While Path helps you plan for your future, Autopilot aids in the management of your money in the present. This tool automatically distributes your paycheck to different financial accounts, from your checking account to an emergency fund and your investment accounts, to meet all your different needs and goals.

Pros & Cons

  • Offers 529 college savings accounts, a rarity in the robo-advisor space
  • Supports tax-efficient trading strategies, such as tax-loss harvesting
  • Competitive advisory fee
  • The sheer amount of bells and whistles can be overwhelming
  • No fractional share trading, which may result in you holding more cash than you’d like

Summary: Best Robo-Advisors

CompanyCompany - LogoForbes Advisor RatingForbes Advisor RatingAnnual advisory feeAccount minimumLearn More CTA textLearn more CTA below textLEARN MORE
Betterment5 Best Robo-Advisors Of January 2024 (21)5.05 Best Robo-Advisors Of January 2024 (22)0.25%$0 minimum ($10 to start investing)Learn MoreRead Our Full Review
SoFi Automated Investing5 Best Robo-Advisors Of January 2024 (23)4.75 Best Robo-Advisors Of January 2024 (24)None$1Learn MoreOn Sofi's Website
Vanguard Digital Advisor5 Best Robo-Advisors Of January 2024 (25)4.65 Best Robo-Advisors Of January 2024 (26)No more than 0.20%$3,000Learn MoreOn Vanguard's Website
Vanguard Personal Advisor Services5 Best Robo-Advisors Of January 2024 (27)4.65 Best Robo-Advisors Of January 2024 (28)0.30%$50,000Learn MoreOn Vanguard's Website
Wealthfront5 Best Robo-Advisors Of January 2024 (29)4.45 Best Robo-Advisors Of January 2024 (30)0.25%$500Learn MoreOn WealthFront's Website

Methodology

For this survey, Forbes Advisor partnered with Backend Benchmarking, a leading market analyst firm that evaluates and tracks more than 40 robo-advisor products. Backend Benchmarking provided Forbes Advisor with nearly 100 data points spanning nine categories for each platform from its most recent robo-advisor industry evaluation.

Robo-advisors were evaluated based on their customer experience, their portfolios’ overall performance, account minimums, availability of human advisors, financial planning capabilities, level of transparency about potential conflicts of interest, size and tenure, and investment and management costs.

To determine rankings of these robos, Forbes Advisor weighted each of these categories in accordance with their importance to various types of investors.

An important note: While historical performance data is somewhat considered in these weightings, robo-advisors offer clients a range of portfolios based on their investing timelines and willingness to take on risk. Only one portfolio from each robo-advisor, however, is included in this analysis.

This means that performance rankings of the examined robo-advisors may vary based on the particular portfolio clients are placed in, and a specific client profile might result in slightly different performance rankings. That said, we did not rely extensively on performance overall because, as the standard disclaimer goes, past performance does not guarantee future success, and robos may update or change portfolio composition over the time in pursuit of better or more stable returns.

What Is a Robo-Advisor?

A robo-advisor is a low-cost, online investing platform that employs software algorithms to create and manage investment portfolios. While financial professionals typically design the investing strategies employed by robo-advisors, the ongoing day-to-day management of the portfolios is handled by computers.

Traditional investment management companies and many financial advisors require their clients to maintain substantial account balances, and they tend to charge high annual management fees. Most robo-advisors have low or no minimum balance requirements, and charge much more affordable annual fees.

Robo-advisor services include automatic asset allocation, portfolio rebalancing and tax optimization. Many provide access to human financial advisors to help clients with investment planning.

Since they run automatically and are accessible online, robo-advisors can help you get started investing very quickly, often in a matter of minutes. They can help you take the emotion out of investing decisions, using proven strategies that are tailored to each user’s risk tolerance and financial goals.

How Do Robo-Advisors Work?

The robo-advisor experience usually begins with a brief questionnaire. A new user answers questions related to their age, income, investment goals and risk tolerance. Goals can be anything from saving for college expenses or a home down payment, to investing for retirement.

With this information in hand, the robo‑advisor builds the new user a diversified portfolio of exchange-traded funds (ETFs) or index funds from a limited menu of options selected by investment professionals. The choice of funds match the goals and risk tolerance outlined in the questionnaire.

Once a user’s portfolio is set up, the platform’s software maintains the correct asset allocation in the portfolio, rebalancing holdings as needed so you don’t have to. Tools and visualizations are provided to let users track their progress, add contributions and potentially set up new goals.

What Are Hybrid Robo-Advisors?

Hybrid robo-advisors combine the benefits of human advisors and automated investment management.

They aim to provide the best of both worlds by combining the personalized advice and guidance of live advisors with the automated algorithms of robo-advisors. They typically use technology to streamline portfolio management and create efficiencies, while also providing access to human advisors for personalized advice, financial planning, and other services.

Hybrid robo-advisors may be a good fit for investors who want the low fees and ease-of-use but also want the personalized advice and guidance of human advisors. They may also be a good option for investors with more complex financial situations or higher investment amounts who need more personalized attention.

Are Robo-Advisors Safe?

As with any investment service, there are risks to be aware of with robo-advisors.

One potential risk is the possibility of a security breach or cyber attack. Since robo-advisors are online platforms that manage personal and financial information, there is always a risk of a security breach. However, most reputable robo-advisors use state-of-the-art encryption and security measures to protect against these risks.

Another risk is the possibility of investment losses. Robo-advisors use algorithms and automated portfolio management that include the risk that the algorithms may not perform as expected, or that market conditions may change in a way that adversely affects the portfolio’s performance. All investments carry some degree of risk, and robo-advisors generally aim to minimize risk through diversification and other strategies.

It’s important to note that robo-advisors are typically regulated by the same authorities as traditional human advisors, which helps to ensure that they are held to high standards of conduct and investor protection. As with any investment service, it’s important to do your research and choose a reputable robo-advisor with a solid track record and good customer reviews.

What Should You Look for When Choosing a Robo-Advisor?

If you’re looking for a robo-advisor, you probably want an easy, hands-off investing experience. That makes usability your primary concern: How easy is it to connect a bank account and start investing?

But usability shouldn’t be your only concern. Almost all robo-advisors provide diversified portfolios of low-cost ETFs. Because their offerings are similar, their performance tends to be pretty similar, too. This makes costs—both annual advisory fees and ETF expense ratio fees—the most important thing to watch out for. You want to find a robo-advisor that balances ease of use with low fees.

That said, robo-advisors that charge zero management fee are seldom “free.” Some may keep a disproportionately large portion of your balance uninvested in a cash account, which the firm then lends out to earn interest. This may hinder your overall returns by forcing some of your investing dollars to remain on the sidelines.

Some robo-advisors fill your portfolio with their own proprietary ETFs. While proprietary funds aren’t always a bad thing—Vanguard and Fidelity funds, for instance, are very low cost—newer companies’ proprietary funds may lack the historical return data and liquidity of more established funds. They also may be more likely to unexpectedly close down.

Ensure that your robo-advisor of choice offers the kind of account you want. Almost all offer taxable investment and tax-advantaged retirement accounts, which will probably serve the needs of most prospective robo-advisor investors. But if you’re hoping to invest specifically for a child’s education through a 529 account, your options are very limited. Wealthfront is currently the only major robo-advisor with this offering, though more companies offer custodial brokerage accounts that allow you to invest more broadly on your child’s behalf.

Finally, consider how easy it is to contact customer support. Some robo-advisors rely primarily on chat and email support; if talking to a human live on the phone is important to you, then you’ll want to make sure any prospective robo offers this.

How Many Funds Should You Be Invested In?

You’ll find that some of the robo-advisors listed above use algorithms that put typical investors into niche ETFs, such as an international emerging market bond fund. At first glance, this amount of targeted diversification may seem nice, but it can cost you and it may not end up providing substantially better diversification than broader funds with lower expense ratios.

Generally speaking, specialized funds charge management fees that are substantially higher than ETFs that mimic a broad index. On one robo-advisor, our test portfolio included an emerging market bond fund with an expense ratio of 0.39%. Compare that to Vanguard’s Total International Bond ETF, which charges 0.08% per year (as of February 2021). This fund offers exposure to both emerging and developed markets, meaning it may provide more bang for your buck.

What’s more, broader funds keep things simpler. Keeping track of an excessive number of funds can be taxing—and while that’s what a robo-advisor is for, you can create a diversified portfolio with as little as just three funds: U.S. and international total stock market funds and a total bond market fund.

With that level of simplicity, you might feel empowered to handle your investment portfolio on your own. But if you still prefer a robo-advisor to do it for you, we’d suggest platforms like Vanguard’s that keep your portfolio as simple and low-cost as possible.

Robo-Advisor FAQs

How much money do I need to Invest with a robo-advisor?

Most robo-advisors have low or no minimums to open an account. However, some robos offer lower prices or enhanced services if you have a balance over a certain amount. A minority of robo-advisors require balances of more than $25,000.

How do I open a robo-advisor account?

To open a robo-advisor account, visit the robo-advisor’s website or download its app. Robos all have their own unique registration process, but in general you’ll need to provide the following information:

• Name

• Date of birth

• Mailing address

• Social Security number

• Annual income and net worth

• Years of investing experience

• Investment goals

• Risk tolerance

You have to inform robo-advisors of this information so they can comply with federal regulations and place you in investments matching your goals and ability to tolerate risk.

Can you lose money with a robo-advisor?

Yes, it’s possible to lose money investing with a robo-advisor. While they strive to build portfolios from proven fund options, stock market downturns or other adverse market events can still negatively impact your investment in a robo-advisor portfolio.

Are robo-advisors better than ETFs?

Most robo-advisors build their investment portfolios from ETFs. Typical robo portfolios hold three to ten ETFs, providing a very good level of diversification that’s matched to your goals and risk tolerance. Individual investors can and do create and manage their own portfolios of ETFs, but the advantage of a robo-advisor is that it handles the fund selection and rebalancing automatically.

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¹Forbes Advisor receives cash compensation from Wealthfront Advisers LLC (“Wealthfront Advisers”) for each new client that applies for a Wealthfront Automated Investing Account through our links. This creates an incentive that results in a material conflict of interest. Forbes Advisor is not a Wealthfront Advisers client, and this is a paid endorsement. More information is available via our links to Wealthfront Advisers.

Vanguard Disclosures

Vanguard Personal Advisor Services
Vanguard Personal Advisor Services are provided by Vanguard Advisers, Inc., a registered investment advisor, or by Vanguard National Trust Company, a federally chartered, limited purpose trust company.

The services provided to clients who elect to receive ongoing advice will vary based upon the amount of assets in a portfolio. Please review the Form CRS and Vanguard Personal Advisor Services Brochure for important details about the service, including its asset based service levels and fee breakpoints.

VAI is a subsidiary of VGI and an affiliate of VMC. Neither VAI nor its affiliates guarantee profits or protection from losses.

Vanguard Digital Advisor

All investing is subject to risk, including the possible loss of the money you invest.For more information about Vanguard funds and ETFs, visit vanguard.com to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information about a fund are contained in the prospectus; read and consider it carefully before investing.

Vanguard Digital Advisor® services are provided by Vanguard Advisers, Inc. (“VAI”), a federally registered investment advisor. VAI is a subsidiary of VGI and an affiliate of VMC. Neither VAI nor its affiliates guarantee profits or protection from losses.

Vanguard Digital Advisor is an all-digital service that targets an annual net advisory fee of 0.15% across your enrolled accounts, although your actual fee will vary depending on the specific holdings in each enrolled account. To reach this target, Vanguard Digital Advisor starts with a 0.20% annual gross advisory fee to manage Vanguard Brokerage Accounts. However, we’ll credit you for the revenues that The Vanguard Group, Inc. (“VGI”), or its affiliates receive from the securities in your managed portfolio by Digital Advisor (i.e., at least that portion of the expense ratios of the Vanguard funds held in your portfolio that VGI or its affiliates receive). Your net advisory fee can also vary by enrolled account type. The combined annual cost of Vanguard Digital Advisor’s annual net advisory fee plus the expense ratios charged by the Vanguard funds in your managed portfolio will be 0.20% for Vanguard Brokerage Accounts. For more information, please review Form CRS and the Vanguard Digital Advisor brochure.

Vanguard Marketing Corporation, Distributor of the Vanguard Funds.

Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circumstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. Past performance is not indicative of future results.

Forbes Advisor adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our partners.

As a seasoned financial expert with extensive knowledge in the field of robo-advisors, I can provide insights into the concepts discussed in the article about the Best Robo-Advisors of January 2024.

  1. Betterment:

    • Betterment is recognized as a pioneer in the robo-advisor approach to investing.
    • Offers a competitive annual advisory fee of 0.25% with no minimum balance requirement.
    • Provides a range of services, including Betterment Digital and Betterment Premium with access to live financial advisors.
    • Portfolio construction involves placing investors in risk-appropriate portfolios of ETFs.
  2. SoFi Automated Investing:

    • Stands out for its low fees, with no annual advisory fee and a minimum investment requirement of $1.
    • Utilizes ETFs with generally low expense ratios.
    • Offers access to real-life professionals for financial advice.
    • Caution: Includes some proprietary SoFi ETFs with potential downsides.
  3. Vanguard Digital Advisor:

    • Founded by Jack Bogle, a pioneer in low-cost diversified funds.
    • Boasts ultra-low-cost fees, with an annual advisory fee of no more than 0.20%.
    • Portfolio comprises ultra-inexpensive Vanguard ETFs, typically including just four ETFs.
    • Provides a simplified investing approach but requires a $3,000 minimum balance.
  4. Vanguard Personal Advisor Services:

    • Tailored for investors with higher balances, with a minimum balance requirement of $50,000.
    • Offers access to human financial advisors, including certified financial planners (CFPs).
    • Employs low-cost Vanguard funds for portfolio construction.
    • Annual advisory fee is 0.30%.
  5. Wealthfront:

    • Wealthfront offers a sophisticated saving and investing platform with relatively low fees.
    • Competitive annual advisory fee of 0.25% with a minimum account balance of $500.
    • Portfolio includes a diversified range of ETFs, and the platform supports tax-efficient trading strategies.
    • Provides financial planning tools like Path and Autopilot.

The article evaluates these robo-advisors based on factors such as fees, features, ease of use, customer service, and other attributes. It also discusses the methodology used for the evaluation, emphasizing the importance of low fees, diversified portfolios, and ease of use when choosing a robo-advisor.

Additionally, the article covers essential information about robo-advisors, including what they are, how they work, the rise of hybrid robo-advisors combining human advice with automation, and addresses common questions about safety and considerations when choosing a robo-advisor.

If you have any specific questions or need further clarification on any of these concepts, feel free to ask.

5 Best Robo-Advisors Of January 2024 (2024)
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