Making decisions about where you want your money to go and where you want to be in the future takes careful consideration and a personalized investment strategy.
With the rise in technology in the financial industry and everything going “digital,” some have disregarded the necessity of having a human financial advisor to help set them up for success.
Many are now opting for robo advisors, which are data-driven platforms that use algorithms (rather than people) to create detailed investment plans and manage investment portfolios.
But, are robo advisors the best option for portfolio management? We’ll break it down for you.
How do Robo Advisors work?
Similar to traditional financial advising, a robo advisor starts by asking you a series of questions related to you and your financial goals. From there, the robo advisor takes your responses and runs them through an algorithm that will then build a suggested portfolio accordingly.
These “automated investment advisors,” as some like to call them, have proven to be easy to use, efficient, and helpful in providing people with a well-structured investment portfolio.
Benefits of Robo Advisors
- Low cost alternative
- Easy and efficient to use
- Accessible 24/7
- Delivers services straight to consumers
Keep in mind, while the convenience and accessibility of robo advisors can serve as a perk, there are some limitations to consider before opting for this type of financial planning service.
Robo Advisors vs. Traditional Financial Advisors
Technology is necessary and helpful, but it’s not always king.
As the shift towards digital becomes more prominent, traditional financial advisors have kept one thing central to their approach… people. We like to think of it as investing made human… meaning, it’s still about the person— their goals, their future, and where they want to be.
Robo advisors provide helpful financial planning services, but the relational investment is lacking. It’s more about a quick deliverable, and less about the person behind the portfolio.
Less is not always more.
If you’re familiar with robo advisors, you may have heard that they are the lower cost alternative to financial advisors. But, financial advisors are not just for wealthy individuals. At BE Wealth, we offer financial and investment planning solutions tailored to you and your goals.
Many of these digital platforms are geared towards younger generations with limited investment experience, and are not sufficient for those looking for more advanced financial services such as: retirement planning, tax management, trust funds, estate planning, and more.
More than a Robo Advisor
Our team at BE Wealth is committed to taking a personalized approach to investment planning that keeps you and your personal goals top of mind.
Why Be Wealth?
- Personal - we strive to find the best way to meet the needs of our clients. Our approach is about you -- where you are, where you’re going, and where you hope to be.
- Accessible - when questions or concerns arise (because they will), our team is always within reach and ready to provide you with a helpful answer or solution.
- Informative - we don’t expect you to come in with all your “ducks in a row.” At BE Wealth, you’ll get the information, resources, and advising to set you up for success in the future.
- Relational - our personalized approach allows us to be less transactional and more relational. It’s not just about the services we provide, it’s about the relationships we build.
- Helpful - our mission, every day, is to help you at all stages of your financial journey and through whatever changes life may bring.
We’d love to sit down with you and help define your short-term and long-term goals, and craft an investment plan for pursuing those goals. Whether that be saving up for your child’s education, planning vacations, knocking out debt, or saving for retirement — we can help you get there.
Reach out to a financial advisor at BE Wealth today!
This is meant for educational purposes only. It should not be considered investment advice, nor does it constitute a recommendation to take a particular course of action. LPL Financial and Be Wealth does not offer tax or legal advice. Please consult with a professional regarding your personal situation prior to making any financial related decisions.