Robo Advisors are on the rage and for good reason. They are cheap, easy to use, and frankly are fun to use as well! But, should you really be using them for your investments?
Without getting into the safety and security of your assets, let’s focus on your mindset. What are you using your robo advisor for?
If your answer is something like, “I am just playing around”, or “ gambling is fun” or “ my local casino closed so this is the next best thing” robo is probably right for you.
If you answer is something like “ I wanted a way to invest money I had left over after my expenses”, then you may want to look in another direction. If that is your mindset then you are a builder. You are looking to get more for your hard earned money than what you could from a savings account. Historically, stocks are a terrific way to do this.
Stock investing is very easy, as you can see from the many platforms out there where you can do it cheaply. Stock investing for long term wealth creation is not easy. It takes a strategy and behavioral discipline that is very difficult to maintain through the ups and downs of the market.
That is where advisors come in. We work with you to avoid the numerous traps that the average investor falls into and instead create an investment strategy that takes the stress out of the market.
For the client, it is a win win. You get to put the extra cash you have into investments with a higher chance of return, AND you get the knowledge that a professional is watching those assets and making sure they are growing as they should.