Robo-adviser investing short guide (full sample)
An example of my editing and proofreading services.
It can be useful to understand exactly how my proofreading and editing services can help you. Below, you’ll find an article that I copy edited and proofread, to give you an idea of how I can enhance your content. Please have a read through, and if you like the content then please get in touch or get a quote.
About this content
Find out how robo-advisers can help you meet your investment and financial goals. This article explores how investors can use robo-advisers to build wealth and make the most of their money. It includes information on the benefits, drawbacks, returns and other aspects of robo-advisers.
Editing services provided
Areas of expertise
Robo-adviser investing
Robo-advisers are specialized investing websites. They use feedback from you to automatically create a selection of funds that you can invest in over the medium to long-term. The only human input used in selecting these funds is provided by you, the recommendations come from an analysis by the robo-adviser platform.
Who should use robo-advisers?
Robo-advisers are useful if you like the idea of low-effort, automated investing. They take the human factor out of choosing investments and provide a diverse selection of funds to reduce your risk.
How does robo-adviser investing help you meet your financial goals?
Robo-adviser investing helps you meet your goals in the same way that any other long-term investments in various funds would - Growth, combined with an interim income. Ultimately, whether robo-adviser investing is right for you depends on what you think about your investments being selected for you automatically.
What are your expected returns?
Robo-adviser investing provides both capital growth (i.e. an overall increase in the fund values in your portfolio) together with paying a dividend.
As robo-adviser investing is still in its infancy, we don't know yet how it will perform over time. However, other diversified funds typically return around 7 - 8% a year. Early indications are that in 2014, robo-adviser investing did not match the performance of the stock market (e.g. via an index tracker).
What are the benefits of robo-adviser investing?
Automatic - Low-effort investing, based on questions you answer.
Diversified - The portfolios that a robo-adviser chooses from are already well diversified.
What are the drawbacks of robo-adviser investing?
Fees - The fees for robo-advisers are higher than those for investing in a straightforward index fund, which could provide similar performance.
Not much to learn - Because robo-adviser investing does the work for you, there are only limited learning opportunities on how your investments are working.
Robo-adviser investing can be volatile in the short to medium term.
How do you get started with robo-adviser investing?
There are several businesses providing robo-adviser investing, including:
Betterment
Wealthfront
Schwab
Content originally written by Paul Maplesden, a freelance writer, and edited by me.