Virtual financial advisors gaining momentum

The term RoboAdvisors defines a wide array of online platforms that provide savers pre-set investing solutions, specific portfolios (more or less customized), whose management is entirely conducted by automated risk management algorithms. The purchase of these services can be performed, most of the times, directly online and end up straight to the client’s portfolio without the need of any human intervention.

A RoboAdvisor is thus a “virtual financial advisor”, who is able to provide advisory services in an efficient and in a cost-competitive way, leveraging on its ease of usage and on the online browsing experience for the consumer. Due to the centrality of the technological component, RoboAdvisors belong to the FinTech sector: the market where technology meets finance.

Investor assets run by RoboAdvisors are expected to soar to $2.2 trillion in 2020 from $135 billion this year, according to management consulting firm A.T. Kearney