Fintech Changes Investing

Comparing Online Investment Advisors

With many recent articles in the media about online investment advisors (often called robo-advisors), we thought it would be a good idea to compare them. The requirements for review: passive investments with transparent holdings and asset allocations. The full version of this article with all holdings and asset allocations is available in the research papers at California Fintech Network.


Wealthfront

Location: Palo Alto, CA
CEO: Adam Nash
Capital Raised: $129.5 Million Website: wealthfront.com
Twitter: twitter.com/Wealthfront

Portfolio

ETF Vendors: Vanguard, Charles Schwab, iShares, Barclays iPath, State Street
Commodities: Yes
Real Estate: No
Highest ETF Expense Ratio: 0.75%
App: Yes
Tax-Loss Harvesting: Yes


Betterment

Location: New York, NY
CEO: Jon Stein
Capital Raised: $105 Million Website: betterment.com
Twitter: twitter.com/Betterment

Portfolio

ETF Vendors: Vanguard, iShares
Commodities: No
Real Estate: No
Highest ETF Expense Ratio: 0.34%
App: Yes
Tax-Loss Harvesting: Yes


Schwab Intelligent Portfolios (Blue)

Location: San Francisco, CA
CEO: Walter Bettinger
Capital Raised: n/a, NYSE: SCHW
Website: intelligent.schwab.com
Twitter: twitter.com/SchwabBlue

Portfolio

ETF Vendors: SPDR, iShares, Charles Schwab, Vanguard, Invesco PowerShares, FlexShares, ETF Securities
Commodities: Yes
Real Estate: Yes
Highest ETF Expense Ratio: 0.48%
App: Yes
Tax-Loss Harvesting: Yes — with minimum of $50,000


Acorns

Location: Newport Beach, CA
CEO: Walter Cruttenden
Capital Raised: $9 Million
Website: acorns.com
Twitter: twitter.com/acorns

Portfolio

ETF Vendors: Vanguard, iShares, PIMCO
Commodities: No
Real Estate: Yes
Highest ETF Expense Ratio: 0.20%
App: Yes
Tax-Loss Harvesting: No


FutureAdvisor

Location: San Francisco, CA
CEO: Bo Lu
Capital Raised: $21.5 Million Website: betterment.com
Twitter: twitter.com/Betterment

Fidelity Portfolio

ETF Vendors: Vanguard, iShares
Commodities: No
Real Estate: Yes
Highest ETF Expense Ratio: 0.40%
App: Yes
Tax-Loss Harvesting: Yes

TD Ameritrade Portfolio

ETF Vendors: Vanguard, PIMCO, SPDR, iShares
Commodities: No
Real Estate: Yes
Highest ETF Expense Ratio: 0.59%
App: Yes
Tax-Loss Harvesting: Yes


SigFig

Location: San Francisco, CA
CEO: Mike Sha
Capital Raised: $15 Million Website: sigfig.com
Twitter:
twitter.com/SigFigInsights

Fidelity Portfolio

ETF Vendors: iShares
Commodities: No
Real Estate: Yes
Highest ETF Expense Ratio: 0.43%
App: Yes
Tax-Loss Harvesting: No

Schwab Portfolio

ETF Vendors: Charles Schwab
Commodities: No
Real Estate: Yes
Highest ETF Expense Ratio: 0.14%
App: Yes
Tax-Loss Harvesting: No


Hedgeable

Location: New York, NY
CEO: Mike Kane
Capital Raised: $1.9 Million Website: hedgeable.com
Twitter: twitter.com/Hedgeable

Portfolio

ETF Vendors: Vanguard, Charles Schwab, iShares, Barclays iPath, State Street
Commodities: Yes
Real Estate: No
Highest ETF Expense Ratio: 0.75%
App: No
Tax-Loss Harvesting: No (but does use active management of asset allocation)

Disclaimer: This blog post does not constitute an offer to sell or a solicitation of an offer to buy any securities and is the opinion of the authors and not intended as investment advice.

California Fintech Network is a private network of professionals, founders, executives, and investors that work in financial technology. Find more detailed research at www.californiafintech.net

One clap, two clap, three clap, forty?

By clapping more or less, you can signal to us which stories really stand out.