facebookIf I want to invest $100-$200/month, should I invest with FSMOne S&P500 (VOO) or Robo-advisors? - Seedly



09 Jun 2020

General Investing

If I want to invest $100-$200/month, should I invest with FSMOne S&P500 (VOO) or Robo-advisors?

For Robos, Syfe or Stashaway given current market?

Discussion (2)

What are your thoughts?

Hey there!

I have a FSMOne RSP account for VOO. They have one of the lowest broker fee per transaction for RSPs as well, compared to local banks. Interface wise.. can be done better but yep lol. VOO because of the low expense ratio and tracking error.

For robos, You might want to look at the way the algorithm performs the portfolio portfolio allocation before you decide which robo to go for.

Do make sure your insurance coverage is settled and an emergency fund is set aside. All the best!

Financial planning is an integral part of life. You can reach me here to find out more.​​​

Ng Wei En

Ng Wei En

09 Jun 2020

Analyst at Mastercard

If you are looking to purchase an S&P500 ETF without a mix of bonds or other instruments for hedging, then it would be down to FSMOne vs kristal.AI.

FSMOne charges 0.08% or a minimum of US$1 per transaction. Your monthly investment amount will incur the minimum US$1 per transaction. That comes to US$12 in fees per year. You would be looking to buy VOO if you are going with FSMone since it has the lowest expense ratio I think.

On the other hand, kristal.AI does not charge fees for the first 25 trades. Since dollar cost averaging once a month will only come up to 12 trades per year, you will not be charged any fees. There is however a 0.03% FX conversion fee when buying into USD-denominated ETFs. You would be looking at either SPY or IVV which are the only available S&P500 ETFs on kristal.AI.

FSMone is more expensive with fees but you are able to secure your entry price at the time of putting in the trade. kristal.AI, on the other hand, takes 1-2 working days to lock-in your trade after placing a buy order. ​​​

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