Comparing Online Investment Managers
Online investment managers (aka robo-advisors, digital wealth managers) build and manage personalised investment portfolios. You choose the amount you want to invest and your risk tolerance, and the online investment manager invests the money into a suitable portfolio. In short, they are a low-cost, tax-efficient and hassle-free way to intelligently invest and grow your savings with the help of financial experts. You can learn more about online investment managers in our free eBook
Why use an online investment manager?
Online investment managers are a low-cost, transparent and straightforward way of having your money managed by expert investors. Traditionally, you would have needed six figure savings in order to qualify for a personalised investment portfolio. The portfolio performance would then be infrequently reported to you in an unfriendly format littered with meaningless jargon, and you’d be charged a hefty fee for the pleasure. On the other hand, online investment managers allow you to start with as little as £1 which is invested into a suitable portfolio that you can monitor online 24/7 – making your life easier and your money work harder.
Benefits of online investment managers
Online Investment Management – Platforms and Fees Comparison
Invest from as little as £1
Online investment managers enable you to have as little as £1 expertly invested in global markets. This makes expert investment advice accessible to millions more people – helping everyone to become more sophisticated with their savings and benefit from professional financial management.
Top-up at the click of a button
Topping up your account with extra cash can be as easy as typing in the amount and your debit card details on the online investment manager’s dashboard. You can also set up a regular monthly payment into the account or sending money via bank transfer ad-hoc using your unique customer reference.
No hidden fees
Online investment managers are generally transparent with their fee structures. As a general rule, you will pay two fees – a management fee (to pay for a professional team to manage your money) and an underlying fund fee (to pay the costs of what the manager invests in).
Setup in minutes
Setting up a savings account at a bank can take weeks. Many online investment managers allow you to setup and deposit money in an account in a matter of minutes – helping you to start seeing returns more quickly.
Tailored to match your risk level
Everybody has a different attitude to risk – and online investment managers recognise this. Most offer you the option to choose a risk level you’re comfortable with, so those with a bigger appetite to risk larger losses for the chance of larger rewards can invest accordingly, whilst those who are more risk averse can invest into a less volatile portfolio. For those who like to spread their risk even further, many online investment managers enable investors to split their money across multiple portfolios with differing risk levels.
A fraction of the price of traditional money managers
With traditional money managers, you not only get charged higher fees, but you also need vast amounts of money (in some cases, over £100,000) in order to open an account. Online investment managers do away with complicated, expensive fee structures and open up the world of professional money management to a far greater number of people.
Manage your investments online and on mobile – 24/7
Rather than guessing what the performance of your savings account might be, or having to go into a bank branch during working hours to withdraw your money, online investment managers provide online dashboards to monitor performance, transfer money between different investment accounts, and withdraw money to your linked bank account 24/7. Some online investment managers offers apps to do this, too.
Online Investment Managers: Market Updates
Market Updates: World’s largest wealth manager, UBS, is set to launch its own robo-advisor platform in early 2017
UBS, which is currently the world’s largest wealth manager, has announced it plans to enter the ‘robo-advice’ market.
Wealthify lowers fees, reduces minimum investment and launches mobile app
As of 1st March 2017, there are three major updates which signal good news for prospective and current Wealthify investors.
Julian Benyon, Financial Services
Cameron Fraser, FX Broker
James Hebert, Senior Adjuster
Max Wainwright, IT Project Manager - FMCG
James Pringle, Co-Founder & CEO
Amelia Storr, Software Sales
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