26 Jul 2020
I’ve read up slightly about Robo-Advisors and I am confused by the multiple choices out there. Can anyone explain more?
If you don't have large capital at the moment, I would suggest to dip your toe into anyone first.
However, I have been having good experience using StashAway and would recommend you to go for that as well. Besides the comparison article you saw online. I felt other things that are beneficial for me as follows:
1) they have been conducting classes online to teach about financial planning, their framework and etf investing etc.
2) there is a weekly market commentary which is useful for me to know about current market. They recently launched their Spotify channel.
3) be truthful to your investment plan(for retirement/general investment/housing), then, you can have multiple portfolios in StashAway for individual purpose.
4) there is SRS investment option.
These are a few positive experience I have with them. However, I m currently looking into Endowus which allow investment via CPF.
Lim Qin Da
15 Jul 2020
Business Administration & Analytics at National University of Singapore
Here are the popular choices in the Seedly community! Before you decide to put your money in, it would be good for you to understand the methodology, as well as the pros and cons of every Robo-Advisor. Robo-Advisors are the easiest investment methods to provide beginners with low cost, diversified and passive investing. They are perfect for time-starved working adults who are looking to grow their money passively.
Information accurate as of 15 Jul 2020.
TL;DR: Besides just choosing the robo-advisor with the lowest fees, you should be looking out mainly for the following. It is also important to invest according to your risk appetite, and understand any hidden fees involved, particularly if you’re opting to invest in global ETFs.
Management Fee: 0.5% of AUM p.a.
Platform Fee: USD 18
Transparent and detailed platform
Auto-rebalancing to ensure not one asset class is overloaded
AutoWealth assigns each user a personal advisor so you can get support via text, or meet the advisor face to face
DBS digiPortfolio (Reviews)
Easy to use, with low entry amount of S$1,000
Able to choose curated investments based on the level of risk appetite
CPF and SRS: 0.4% of AUM p.a.
Cash: 0.6% (up to SGD 200K) to 0.25% (more than SGD 5M) of AUM p.a.
Allow CPF, SRS and cash investments
Lowest fees among robo platforms that invest in unit trusts
Low fees, no penalties for opening or closing an account
24/7 customer support, initial investment of just $10
No automatic portfolio rebalancing (which Autowealth and Stashaway has)
Risk profiling not as comprehensive as Autowealth or StashAway
Algorithm advisory doesn't explain the rationale for each selected combination
OCBC RoboInvest (Reviews)
Easy to use platform, liberty to choose when to sell
Straightforward and diversified
No dedicated mobile app, long waiting time
No funds dedicated in high growth emerging markets
Management Fee: 0.5% of AUM p.a. (up to SGD 500K)
Performance Fee: 10% of any positive return
Relatively low management fee
Beginner-friendly UI, uses machine learning
Allow SRS and cash investments
Easy to use app with a seamless interface
One of the lowest fees for small investment amounts at 0.8% a year
App allows users to track investments seamlessly
Successful long-term investing is much more about managing risk than chasing returns
Syfe takes a dynamic, risk-based approach to your portfolio’s asset allocation to deliver better returns
Low management fees of 0.65% p.a
Interesting risk-based approach
Portfolios created by Syfe based on the downside risks you are willing to take, rather than returns
Excellent customer support
References were made to a Seedly Article written in Mar 2020. Click here to read more!
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ETFs, Equities, Bonds
0.2% to 0.8% p.a.
ANNUAL MANAGEMENT FEE
EXPECTED ANNUAL RETURN
Web and Mobile App