Those with little time to spend on the financial markets have the opportunity to invest their money in various financial instruments with the help of a robo-advisor. Robo-advisors are seen as a great time-saver – and can be very cheap too. Robo-advisors are digital financial managers who help investors invest their money quickly and easily. Investments are possible from very small minimum deposits.
Robo-advisor comparison: What is a robo-advisor?
It’s a digital financial manager or wealth assistant. The origin of this concept lies in the combination of the words “robotics” and “advisor”, which gave the tool its name. The Robo-Advisor is therefore nothing more than an automated robot capable of independently carrying out trading activities according to certain guidelines.
Robo Advisor comparison: the best Robo Advisor
After a simple definition of what a Robo Advisor is, most investors still have their doubts. Some of the questions that arise concern their advantages and disadvantages, including how to decide which is the best Robo Advisor or what to expect from them. Don’t worry, here we’ll show you a comprehensive Robo Advisor comparison so that all your doubts are put to rest.
1. eToro
First place in our comparison goes to the winner of all our security and quality tests: eToro. This platform is no ordinary robo-advisor, as it is a tool that also acts as an online broker. It combines all these services in a single tool.
This complete platform model is known as copy portfolio or copy trading, a technology that aims to minimize investment risk by creating diversified portfolios. What’s more, it offers all these possibilities with no management fees for users, maximizing growth opportunities. In short, eToro’s copy portfolios are designed to learn and copy the trading patterns of the most experienced and profitable users. In this way, they offer new users a variety of ways to make their investments profitable, even if they only have a small number of them.
The cost of this service within eToro is around €5,000 in one go and gives you access to expert financial tools, management overseen by experienced investors and AI technology capable of replicating the most beneficial trades. In general, this is the only payment you need to make to take advantage of your copy portfolio at eToro. There are no management fees and there are generally no commissions for trading stocks or ETFs. We recommend that you investigate other options such as CFD investing, which may incur additional charges in the evenings and at weekends.
2. Robo-advisor in evolutionary capital
In second place, we find another well-known provider, Scalable Capital. The Scalable Robo Advisor was founded in 2014. Scalable Capital also manages digital assets, learns about risks and manages them in order to offer different investment strategies with as little risk as possible. The platform’s aim is to scale the size of investments over time. The main assets are therefore ETFs and ETCs from all over the world, from which each user can choose. Once the assets in which to invest are selected, Scalable Capital manages and researches them through its experts to provide the best recommendation to the user.
3. Quirion Robo Advisor
Quirion is one of the newest and youngest Robo Advisors, having only been founded in 2015. Quirion Robo Advisor comes third in our test, as Quirion has proven to be a very good Robo Advisor. In the same year, the tool was awarded best start-up and has since become indispensable for many investors, not least after cooperating with Quirin Bank, and because it offers its users comprehensive guarantees.
Quirion offers up to 3 different account models that allow you to execute different transactions and invest in assets such as ETFs: the ordinary account, the comfort account and the premium account. Each comes with a different minimum investment and different features for long-term investments.
