1 Answers: Beginner Question about Robo-Advising

Question

A couple of years ago I threw a couple thousand dollars into a Wealthfront account with a low risk score (3.0) and a monthly deposit of $100. I didn’t know much about investing except that I wanted to start. I’m 26. However after doing some research I realize that I don’t want to keep it in there forever. I’d rather put it in a Vanguard Mutual Fund or Target Retirement Fund and not touch it.

Wealthfront charges no advising fee for the first 15k I’m investing. Like I said, it’s only a few thousand in there. So I’m thinking there’s nothing wrong with keeping the money in there until it hits the 15k mark, then withdrawing and considering a smarter option. It seems like that way I get away without being charged any fees; no harm no fowl. Am I missing something?

Thanks for any advice/insights.

in progress 0
Anonymous 5 months 1 Answer 54 views 0

Answer ( 1 )

    0

    You are right to want to put it in a Vanguard Mutual Fund this is a solid investment vehicle. You should be able to withdraw your initial investment and move funds into a more trusted and higher rate of return investment.

    Even if you lose a little value in pulling it out of a lower yield investment, you should be able to reinvest the capital and make far greater returns in the future through an ETF or other investment instrument.

Leave an answer

Browse
Browse