I got a call last spring from a former client, Ken Schapiro, Founder of Condor Capital Management in Martinsville, NJ. He wanted my help again with financial public relations to get the word out about a new report.
As far as investments reports go, only a small percent discuss something new in the marketplace. But as I listened, I grew more intrigued. This really did sound like something new that hadn’t been covered in research reports.
He had put together what he was calling The Robo Report(TM). Putting his money where his mouth was. He invested his own money in most of the leading robo advisors. But, why?
Simple — because they have been operating in a black hole. No one in the public sphere knows what they hold in their portfolios, how and when they trade, and most importantly, what their performance has been. That is, until now.
By investing his own money and opening accounts with leading robo advisors, Ken was able to get a handle on the investments. Changes to the portfolios, and reactions to world events.
He also was privy to the robos’ performance. How they actually performed for their clients under different market conditions and over a period of time.
These are short periods of time since it has just started, but some data is better than no data. As time goes on, more data will be available over a longer period of time. Investors, advisors, and the public can at least make educated decisions based on real information, not previously available.
Transparency is the goal.
Many financial advisors don’t supply prospects with investment returns and track records. Here was one adding value to the investing public and the industry by bringing transparency to robo advisors. In fact, the logo on The Robo Report(TM) is a window. How appropriate to shine a light on this void of information on robo advisors.
Condor Capital does supply performance data upon request and is actually GIPS (The Global Investment Performance Standards) compliant. This means performance is audited by an outside third party. Another refreshing approach given that many advisors try to hide their performance.
See the links below for a snapshot of what was in the first report that we took public last November 2016. It has varying time periods for robos given they were opened on a rolling basis. However, they were made to be as much of an apples-to-apples comparison with asset allocation and risk tolerance as close as possible.
Here is the ThinkAdvisor article on the first report:
There is also an indepth article on robos that includes Condor Capital in the current Jan/Feb 2017 issue of MONEY magazine on newsstands now. Here is link:
In an industry where companies are constantly looking to come out with “new” products in order to make “more” money, it’s refreshing to see a firm truly adding value.
I would challenge those working in the financial industry to follow this lead in 2017. Rather than just thinking about selling, increasing AUM, getting more clients and increasing revenue, instead of what’s missing in the financial industry. Where they can add value and help people first and foremost.
Where The Robo Report goes in the future, I don’t know. I do know that it will provide much needed transparency to a segment of the financial marketplace where it is much needed.
For access to the free report, please visit: