An Insight into Wealth Management Platforms and B2B Robo-Advisors

In recent days the industry has felt a lot of buzz about robo-advisors and wealth management platforms. There is every valid reason for that. B2B robo-advisors are financial planning through Artificial intelligence. The new strategy should be to welcome robo-advisors with open arms.   In recent days the industry has felt a lot of buzz about robo-advisors and wealth management platforms. There is every valid reason for that. B2B robo-advisors are financial planning through Artificial intelligence. The new strategy should be to welcome robo-advisors with open arms.

Reasons for preferring robo-advisors

First time financial planners often tend to get confused due to several factors and hindrances that they face while doing financial planning.

Robo advisors are all set to transform the environment and way of investing in modern times. Let’s have a look at the points that are endowing the B2B robo advisors with signifinace in todya’s scenario:

1) Less number of experienced certified financial planners

As per ET, there are 2,500 certified financial planners and 62 million households with income above Rs 5 lakh who seek the services of an advisor. The gap is really huge that needs to be filled up as soon as possible. This huge gap has led people to go for wealth management platforms.

2) Low Threshold

The services of certified financial planners were costly and hence available to only high net worth individuals as not everyone could afford the cost. First time investors find it to be more suitable as they do not need to have a minimum income of Rs 5 lakh plus to avail the services of a certified financial planner.

3) Accessibility

Robo advisory is accessible 24X7 due to very less human intervention. The client is not required to get an appointment from the financial planners.

4) Lower fees

Most of the people cannot afford the fees of experienced financial advisors. Financial advisors charge fees for giving personalized advice whereas some charge a fixed some on monthly basis for maintaining the portfolio.

5) Fast execution

Investment becomes a time taking and tedious process due to a lot of documentation and other formalities. Robo advisory takes care of this issue as this is just a click away.

Wealth management platforms are the need of the hour today and the need is to get adapted to these for better results. If you are a first time investor, no need to get frightened by the long drawn process or huge costs of investing. Take refuge in a good wealth management platform that can help you at the time of the need.

Is It the Right Time to Trust Robo Advisors?

We have seen a sudden rise in robo advisors or robo advisory services, where investors are provided with algorithm driven investment and financial planning services. The intervention of a human financial advisor in such services is often minimal or at times non-existent and this depends on the service provider. But, are these b2b robo advisors reliable and can an investor trust these with their hard earned money remains a question.

In this article, we take a look at the advantages provided by a robo advisory platform.

The Accessibility

If you are new to the world of investing, it is time you chose a robo advisory platform. Such platforms not only reduce any barriers but enables professionals to start their investments without the need of large capital. Investors can start with a low amount which is not the case with human advisors who prefer clients with large capital.

The Technology

Robo-advisors make use of a number of tools that are driven by artificial intelligence and big data. By using these algorithms or models, robo advisors can perform a number of functions that suit the investor’s needs and come up with the best financial advice for them. Robo advisory platforms are for sure an excellent choice and provide advices that suit every investment criteria.

The Fees

Human investment advisors often charge a said % of the total portfolio value and this is often taken as a management fee and can also vary depending how large or small the portfolio is. On the other hand, the robo-advisory platforms charge a nominal fee or some online wealth management platforms offer the services for free if the portfolio is small. So, when the management costs are reduced or are minimum, it increases the net return of your portfolio.

Conclusion

Robo-advisors are more than mere machines and are very smart. A number of wealth management platforms offer customized services based on the investors requirement. Like every investment tool has its own pros and cons, robo-advisors too come with a caution. Just keep their limitations in mind when making your investment and they will for sure help build your assets in no time.

So, choose the best robo advisory platform today!

Time to Nudge Your Investing Behaviors Using A Wealth Management Platform

Handling one’s very own finance can be tricky at times and many get into a financial mess due to a wrong decision made. Most of us tend to make decisions that are influenced by our emotions or behavioural anomalies, but lack of investing knowledge acts as the icing on the cake.

Investors need to have basic financial literacy, as it helps to analyze the risks and opportunities involved in an investment and also shields from adding a wrong investment to your portfolio. Remember that a poor decision can even drag a high earner into a debt trap or even into bankruptcy in worst cases.

This is what makes it important to choose wealth management solutions.

A number of times, the decisions made by an investor are more ad-hoc. For example, when the financial year comes to an end, we do see an investment spree. Most of them get to investments for saving tax without understanding parameters like the risk involved, the long-term or short-term goals and their present financial situation. A number of distributors take undue advantage of the same and sell schemes that are just in line with their business model, and ignore the investors’ interest.

Instead, investors can choose efficient portfolio management solutions, where they receive the needed professional help, with wealth management options that suit their needs and the risk-taking ability. While many do know that they need a financial advice, many hesitate to do so. The reasons for the same can be many – while some might not trust a third party and others might not know where to look for help. But, it is important to understand that by paying a fee for the financial advice, you would receive an unbiased advice with transparent calculation, which in turn yields good returns.

A number of portfolio management solutions are provided online and one can choose a platform with a robo advisor. Why?

Financial advices given by Robo-advisors are not driven by any human emotions and are rational. Robo-advisors are automated advisors that provide financial advice after considering the risk profile, the tax brackets and the financial goals of the investor, they can provide advice related to asset allocation, portfolio construction etc.

If you are looking forward to making an investment, choose a professional wealth management platform right away!