The Best Robo-Advisors

What is it? Robo-advisors are virtual financial planners that uses smart computer programs. Think of it as having a financial advisor in your pocket that works 24/7, using algorithms to help you grow your money over time. It's a convenient and cost-effective way to start investing without the need for a lot of financial know-how.

How it works: A robo-advisor automatically manages your investments. You provide information about your financial goals, how much risk you're comfortable with, and how long you plan to invest. The robo-advisor then uses this info to create and manage a diversified investment portfolio for you.

The investment choices are based on things such as:

• How much risk you’re willing to bear

• What level of returns you want

• When you need the money

Benefits of a Robo-Advisor

• Lower Cost: Unlike traditional financial advisors who may charge high fees for their services, robo-advisors often have lower fees. This is because they use algorithms to do a lot of the work, reducing the need for human intervention.

• Hands-Off Approach: Setting up an account with a robo-advisor is usually straightforward. Once you've set things up, the robo-advisor takes care of the day-to-day management of your investments. This includes things like buying and selling assets to keep your portfolio in line with your goals.

• Accessible: Since robo-advisors operate online, you can check your investments and make decisions from anywhere with an internet connection. It's a more accessible way to get into investing, especially for younger individuals who might be more comfortable with digital platforms.

• Regular Maintenance: Your financial situation may change over time. Maybe you get a raise, or your goals shift. Robo-advisors often monitor your portfolio regularly and make adjustments as needed to keep things on track.