Robotic advisors can’t handle investment strategies beyond mutual funds, ETFs and equities. Or can they?
Robo advisors are no match for humans… they just don’t have the ability to handle tough investment strategies beyond equities, mutual funds and ETFs. Or at least, that’s the theory.
Now it seems that in practice that might all be about to change.
That’s because a new partnership has been formed between Adhesion Wealth Advisor, Riskalyze and TD Ameritrade which is aimed at bringing “the industry’s first and only open-architecture digital advice platform” to life for investment advisors.
Built on Adhesion’s unified managed account systems, the product will give advisors the ability to allocate client assets to different managers from within a single account.
According to Aaron Klein, the CEO of Riskalyze, the service will assist advisors because it will help them avoid opening accounts with each asset manager. He believes that life will be improved for clients because they will simply get one statement from one account. Effectively this bridges the gap with robo advisors because now it is possible to blend liquid and tactical strategies with the rest of the portfolio.
Advisors will be able to create unique allocation models that use assets from a number of ETF strategists and asset managers – including the likes of BlackRock, CLS Investments, Fortunatus, Horizon, Morningstar and Vanguard.
As such, when integrated with the program, advisors will be able to sync outside assets, open new accounts, e-sign documents and add digital risk analysis.
According to Barrett Ayers, the chief solutions officer of Adhesion, clients will get a true digital experience while enjoying the sophisticated investment strategies that are normally only available from humans.
Now it seems that in practice that might all be about to change.
That’s because a new partnership has been formed between Adhesion Wealth Advisor, Riskalyze and TD Ameritrade which is aimed at bringing “the industry’s first and only open-architecture digital advice platform” to life for investment advisors.
Built on Adhesion’s unified managed account systems, the product will give advisors the ability to allocate client assets to different managers from within a single account.
According to Aaron Klein, the CEO of Riskalyze, the service will assist advisors because it will help them avoid opening accounts with each asset manager. He believes that life will be improved for clients because they will simply get one statement from one account. Effectively this bridges the gap with robo advisors because now it is possible to blend liquid and tactical strategies with the rest of the portfolio.
Advisors will be able to create unique allocation models that use assets from a number of ETF strategists and asset managers – including the likes of BlackRock, CLS Investments, Fortunatus, Horizon, Morningstar and Vanguard.
As such, when integrated with the program, advisors will be able to sync outside assets, open new accounts, e-sign documents and add digital risk analysis.
According to Barrett Ayers, the chief solutions officer of Adhesion, clients will get a true digital experience while enjoying the sophisticated investment strategies that are normally only available from humans.
