Rise of Robo-Advisors and the Risks

Описание: 3.5 million investors will use a #RoboAdvisor to handle their #portfolio this year. That's up 23% from 2020, which saw record growth of 37.4%!

Why the dramatic spike? As Kimberly Wells from Young Wealth Management explains to Erin Kennedy, more and more investors have taken advantage of the new, record highs in equity markets with a DIY approach, and they're also looking to save on fees. Millennials are the most likely to invest with a Robo-Advisor, and Kimberly says that may be just fine if they're simply looking to invest versus creating a more holistic, financial plan, since Robo-Advisors are generally limited to investments only.

But the perceived ease of working with a Robo-Advisor, does come with risks. There are many #Tax implications that a robot may not be able to help you navigate, including #CapitalGains.

Also important, if the markets crash, or make a correction, a #CertifiedFinancialPlanner can talk you through all your options and identify risks or potential investing opportunities. For most people, an algorithm can't compare with human empathy, experience, and training.

If you would like to talk to an actual human about your unique financial needs, please give Kimberly a call at (614) 430-8383 or schedule a complimentary appointment at www.Young-WM.com.