Kitces Part 1: How robo misunderstood the advice model

Kitces Part 1: How robo misunderstood the advice model - Cuffelinks

i hold several 'Robo-advice ' stocks mostly via reverse take-overs and M&A activity , but please don't hold your breath waiting for me to recommend them here .

to be polite i would call them disappointing . whether run by 'high profile ' internationals , or not

i can hardly wait for part 2 of this article ( most likely next week ) to see why this 'disruptive technology ' has had so little impact to real investing

 

Robo-advice sounds like a computer telling you what to invest in.
This is not what it is.
Mind you - very few people really understand what it does.

 

i was hoping Robo-Advice would be used as a first-up tool to help focus new investor advice , much like a ( nicer version ) of automated switch-boards ... say cut 20 minutes off a real advisors time but remembering to ask some tiny details ( that might be very important in the bigger picture ).

in basic terms send the folks best suited to interest-bearing securities to the bond specialist , the property investors , to that specialist ( and probably the tax whiz , later ) etc. etc

HOWEVER it doesn't seem to work like that either ( at least not in a cost efficient manner )

i await part 2 of the series so i am informed enough to make a decision if i should keep those Robo-Advice shares or liquidate them , because the current div. returns are absolutely unconvincing

i also hold shares in several fund managers but i can see the divs. and potential in them ( not all of them are kicking goals , but that is always a risk, some needed a restructure )

 

Kitces Part 2: Where advice went wrong and where to now

Kitces Part 2: Where advice went wrong and where to now - Cuffelinks